Future Group Reacts After SC Setback On Deal With Reliance; Says Intend To Pursue 'All Available Avenues'

The Supreme Court verdict comes as a massive setback for the deal between Reliance Retail and Future Group, which Amazon had objected to in multiple courts.

New Delhi: Hours after the Supreme Court ruled in favour of technology conglomerate Amazon in dispute with Future Group, the Future Retail Ltd (FRL) said that it intends to pursue "all available avenues" to conclude its Rs 24,731-crore deal with Reliance Industries. 

The Supreme Court verdict comes as a massive setback for the deal between Reliance Retail and Future Group, which Amazon had objected to in multiple courts.

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In a regulatory filing accessed by news agency PTI, FRL said the SC judgement "addresses two limited points related to the enforceability of the EA's order and not the merits of the disputes".

"The full copy of the judgement is awaited. FRL is advised that it has remedies available in law, which it will exercise," it added.

FRL even pointed out that it "intends to pursue all available avenues to conclude the deal to protect the interests of its stakeholders and workforce".

The Future Group further stated that the Arbitral Tribunal at the Singapore International Arbitration Centre (SIAC) has concluded hearings on the questions that whether the interim award of the EA should continue and whether FRL is at all a party in the arbitration proceedings.

"The decision of Arbitral Tribunal is awaited," it added.

Meanwhile, Amazon welcomed the judgement and said the ruling will hasten the resolution of its ongoing dispute with the Future Group.

"We welcome the verdict of the Hon'ble Supreme Court of India upholding the Emergency Arbitrator's award. We hope that this will hasten a resolution of this dispute with Future Group," Amazon said in a statement.

Reliance Retail Ventures Ltd (RRVL), had in August 2020, said it will acquire the retail and wholesale business, and the logistics and warehousing business of Future Group for Rs 24,713 crore. 

The deal includes consolidation of Future Group's retail and wholesale assets into one entity Future Enterprises Ltd and then transferring it to Reliance Retail, which was later contested by Amazon, an investor in Future Coupons that in turn is a shareholder in Future Retail Ltd.

Amazon later dragged Future Group into arbitration at SIAC and in October, an interim award was passed by the EA in favour of the US-e-commerce giant that barred Future Retail from taking any step to dispose of or encumber its assets. 

Amazon and the Future Group had also filed litigations in Indian courts, including the Supreme Court, on the issue. On Friday, the apex court ruled in favour of Amazon by holding that the EA award was valid and enforceable under Indian laws.