Trending stock: Future Retail gains by nearly 5 per cent

The shares of Future Retail surged more than 5 per cent post the verdict given by Delhi High court on the ongoing tiff between RIL and Future Group on one side and Amazon on the other.  

On August 29, 2020, Future Group had announced the sale of its retail and wholesale business to Reliance Retail in a deal valued at Rs 24,713 crore. It also included plans of merging key future group business such as Future Retail, Future Lifestyle Fashions, Future Consumer, Future Supply Chains and Future Market Networks into Future Enterprises Limited (FEL).  

Post which, Amazon sent a legal notice to Future Group arguing that the sale of the latter’s assets to RIL violates the agreement made between Amazon and Future back in 2019, wherein Amazon had agreed to purchase 49 per cent of one of Future's unlisted firms last year with a right to buy into the flagship company, Future Retail Ltd, after a period of around 3 to 10 years.  

With Singapore International Arbitration Centre (SIAC) putting the deal on hold, Future Group had approached Delhi High Court to restrain Amazon from further interfering in RIL and Future Group deal. Subsequently, the court had said that the resolution approving the proposed scheme of arrangement between Future Group and RIL is in accordance with the Indian laws and cannot be intervened with; thereby, denying Amazon's claim. However, it also mentioned that Amazon is entitled to make representations to any authority and cannot be injuncted from writing to the regulators.  

On Monday, the shares of Future Retail were seen trading at Rs 81.65 per share, up by around 4.91 per cent or Rs 3.85 per share. The 52-week high is Rs 382.55 while its 52-week low is Rs 61.05 on BSE.