Reliance to buy Milkbasket and Urban Ladder, now preparations to create a wave in the e-commerce sector

To strengthen its position in the e-commerce sector, Reliance Industries Limited (RIL) may buy Urban Ladder and Milkbasket. Urban Ladder does the business of selling furniture online, while MilkBasket is a milk delivery platform.

RIL talks about the purchase of the Urban Ladder has been going on for the last several months. According to a Times of India report, the conversation has now reached the advanced stage. People aware of the matter say that the deal could be worth around $ 30 million. Similarly, after failures of deals with Amazon and BigBasket, MilkBasket and Reliance have come very close.

However, there is no official statement from Milk Basket and Urban Ladder. If the sources are to be trusted, MilkBasket is making a small concession in terms of margin. According to the Times of India news in March, BigBasket was also discussing to acquire Milkbasket but the deal could not be reached.

Milkbasket is currently providing other essential items along with milk, but it is doing business on a very low margin, due to which it is getting good benefits in metro cities. The Milkbasket business has received a good boost due to the Corona crisis and lockdown not allowing people to have trouble with milk and other items. If Mukesh Ambani gets the rights of both companies, his retail business will touch the highs.

The COVID-19pandemic has forced most people to live in their homes. This includes online shopping especially shopping for daily groceries like milk etc. Reliance, led by Mukesh Ambani, Asia's richest man, launched the online grocery service, Jio Mart, in May which was launched in India to compete with and Walmart Inc.

Mukesh Ambani has raised over 20 billion dollars in the past months. This has been done for the Jio Platform, the digital arm of Reliance.

It is clearly believed that Reliance Industries wants to expand its e-commerce business further and is joining hands with new ventures. It is also reported that RIL is in talks to buy online e-pharmacy startup Netmeds and online lingerie retailer Zivame.

However, no confirmation of this news has been made by Reliance Industries yet. Not only this, but some reports in the air also claim that the discussion of Reliance is in a critical stage to buy Kishore Biyani's Future Retail too.

Reliance Industries, however, declined to comment on these reports and said that they would not comment on the media's forecasts. Any major deal will be reported to the stock exchange first.