Amazon eyes 10 per cent stake in Future Retail

American e-commerce giant Amazon is looking to acquire a 10 per cent stake in Future Retail. Amazon is expected to pick up these shares — through the foreign portfolio investors route — at a hefty premium to the prevailing share price for gaining business exclusivity and future shareholding rights. Future Retail shares ended 14 per cent higher at Rs 494 apiece after media reports about Amazon being on track to buy a 7-8 per cent stake in the Indian company.

Amazon’s investment could evolve alongside regulatory and business developments. The Seattle-headquartered online retailing behemoth plans to enter the omni-channel channel, though it is expected to face stiff resistance from Walmart, which acquired local e-commerce leader Flipkart, and Chinese internet giant Alibaba which has investments in Paytm Mall and e-grocer BigBasket.