Future Group shares gain on talks of global interest

Future Retail, Future Enterprises and Future Consumer have rallied more than 5% on the BSE.

Shares of Future Group companies have rallied by up to 14% on the BSE after the media reported that Google, Paytm Mall may team up to shop for Future Retail stake.

Future Retail has surged nearly 8% to Rs 558 in intra-day trade on back of heavy volumes. The trading volumes jumped more than three-times with a combined 3.35 million shares changed hands on the counter on the BSE and NSE till 03:02 pm.

“The Company evaluates various possibilities, including in relation to business association with third parties, which is always a subject matter of further feasibility studies and the need for requisite consents in accordance to the applicable laws. At present, since there has been no such decision taken by the Board of Directors of the Company there is no disclosure obligation that would have otherwise triggered,” Future Retail said in a BSE filing on clarification on news report.

According to Business Standard report, the Indian unit of Jeff Bezos-led Amazon has begun formal negotiations with Kishore Biyani’s Future Group to invest around $600-700 million for a 12 to 15% stake in the retail major, it is learnt. The two entities have signed a term sheet to take the talks further, sources said. CLICK HERE TO READ FULL REPORT.

Among other Future Group stocks, Future Enterprises (up 14% at Rs 43.30) Future Consumer (7% at Rs 47.15) and Future Lifestyle Fashions (3% at Rs 432) were up more than 2% on the BSE. On comparison, the S&P BSE Sensex was up 1.16% at 38,696 points.