Reliance may retain Metro India's top management post-acquisition: Report

The acquisition includes 31 wholesale distribution centres, land and other assets owned by Metro

Days after it became known that Reliance Industries was set to acquire Metro AG's wholesale business in India, a report in Mint said that the German retailer believes RIL will retain the company's current management after the deal is officially signed by the end of this month.

The report, citing people familiar with the Rs 4,060-crore deal, also said that Metro AG considered the ability of Reliance Retail, the country's largest retailer, to safeguard the employees' interests and get quick regulatory approvals.

The company's India subsidiary has about 5,000 employees on its rolls.

"The deal is on and it will be officially inked hopefully by the month end," a person, seeking anonymity, told the newspaper.

"Based on the discussions with Reliance, we believe they're keen on the current management to stay, and a key attraction—apart from the robust business model—was the quality of people at Metro in India," he added.

On Monday, PTI reported that the conglomerate led by billionaire Mukesh Ambani was set to buy the German firm in a deal which includes 31 wholesale distribution centres, land and other assets owned by Metro.

Both Metro and Reliance Industries have so far not commented on the development. "Our company evaluates various opportunities on an ongoing basis," a Reliance spokesperson told the news agency.

Metro AG's spokesperson said, "We do not comment on market rumour or speculations."

Metro AG has a presence in 34 countries. It entered the Indian market in 2003.

The business operates six stores in Bengaluru, four in Hyderabad, two each in Mumbai and Delhi, besides a store in several other Indian cities, including Kolkata and Jaipur.