Reliance Power's Ambitious Fundraising Venture

Reliance Power's board approved raising up to Rs 9,000 crore through equity shares and non-convertible debentures. Rs 6,000 crore will come from equity-linked instruments aimed at institutional buyers, while Rs 3,000 crore will be through debentures. This ambitious move awaits necessary permissions and approvals.

In a significant financial move, Reliance Power announced on Wednesday its board's decision to raise an impressive Rs 9,000 crore through diverse financial mechanisms.

The board has greenlit a strategy to seek member authorization for securing Rs 6,000 crore by issuing equity shares or other eligible securities aimed at qualified institutional buyers. This could be achieved via a Qualified Institutions Placement, a follow-on public offer, or a combination of both.

Additionally, the company plans to issue secured or unsecured, redeemable, non-convertible debentures worth up to Rs 3,000 crore in various tranches, possibly through private placement. These ambitious financial endeavors are subject to regulatory permissions and compliance with legal prerequisites.

(With inputs from agencies.)