India: Walmart Inc may end partnership with Bharti Group
The US-based retail giant is likely to make an announcement by this month-end on its decision not to convert into equities $100 million it had lent to the Bharti Group in 2010 in a deal which Indian authorities are probing for flouting rules.
This would effectively rule out Walmart partnering with the Sunil Mittal-led group to set up mega stores in India. The deadline for converting these funds lent through compulsorily convertible debentures (CCD) ends on September 30.
Walmart, sources indicated, is likely to press for Bharti Group returning the funds through a “buy-back” option.
Walmart India chief Raj Jain left the company recently in a sudden move and Bharti Walmart, suspended five executives as part of an ongoing investigation against alleged corrupt practices that the US retail giant has launched globally including in China, Brazil and Mexico.
Source: hindustantimes.com
