Reliance’s 25.7% stake in Dunzo means it has the power to influence the strategic direction of the hyperlocal startup. The Company Act mandates three-fourths of the votes for special resolutions. Two years ago, when Reliance Retail invested in Dunzo, it picked exactly the shares sufficient enough for it to have a say in every major decision in the startup. Under section 114 (2) of the Companies Act 2013, special resolutions would require 75% of
Strategy
No quick deliverance: When will Reliance add Dunzo to its cart?
Synopsis
Reliance’s ownership of just above a quarter of the company means Dunzo would need the former’s blessing for any critical decision concerning its future.
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