IREDA Gets Green Light to Raise Rs 4,500 Crore for Renewable Energy Push

Indian Renewable Energy Development Agency (IREDA) received approval to raise Rs 4,500 crore through equity shares to qualified institutions. This move, sanctioned by the Department of Investment and Public Asset Management (DIPAM), aims to dilute government shareholding by up to 7% to strengthen IREDA's capital for renewable energy projects.

State-owned Indian Renewable Energy Development Agency (IREDA) has received governmental approval to raise up to Rs 4,500 crore through an equity shares issue to qualified institutions placement.

The approval was granted by the Department of Investment and Public Asset Management (DIPAM) based on the recommendations of a high-level committee, according to a company statement.

The fundraising will be conducted via the Qualified Institutions Placement (QIP) route, planning to dilute the Government of India's shareholding in IREDA by up to 7% on a post-issue basis, to be executed in one or more tranches.

This exercise aims to strengthen IREDA's capital base, allowing the organization to expand its financing for renewable energy projects and further accelerate India's transition to clean energy.

'DIPAM approval represents a critical step forward in our expansion plans,' said Pradip Kumar Das, Chairman and Managing Director of IREDA, in the statement.

(With inputs from agencies.)