After an appeal against the Future-Reliance deal in Singapore’s arbitration court, Amazon took refuge in the Delhi High Court, but its fresh appeal was dismissed there.
The Delhi High Court has rejected the stay on the deal between Future Retail and Reliance. The High Court single bench judge had stayed the deal. This halted the deal of Rs 24,713 crore between Future and Reliance. This decision of the Division Bench is a setback for Amazon, which challenged the deal between Future and Reliance. Amazon said that according to its agreement with Future, it has the right to ‘first refusal’.
SEBI and CCI ordered to take decision
The division bench said that Amazon has no intention of giving relief to the future, so SEBI and the Competition Commission of India should not take any action in proceeding under the law. The Future Commission had approved the Competition Commission of India.
SEBI had also approved to pursue this deal with certain conditions. The current High Court Bench rejected the single bench’s decision, rejecting Amazon’s request that Monday’s verdict be suspended for a week. Future Group has informed the Bombay Stock Exchange about this decision of the court.
Amazon raised the issue of ‘first refuel’
In fact, last year, Future Group signed an agreement with Reliance to sell its retail, wholesale, logistics and warehousing business. Amazon says it has a 49 percent stake in Future Coupons. Amazon says that the Future Group has broken the agreement with it. According to the agreement, Amazon has the right to first refusal before the business is sold. Amazon took refuge in the International Arbitration Court of Singapore to stop the deal between Future and Reliance.
Nidhi Malviya is fun loving girl. She writes at NoobFeeds about various topics related to Finance, Technology, Business etc.