Ireda to raise up to Rs 5,000 crore via qualified institutions placement

The company clarified, planned issuance would not dilute the stake of government of India in the company not beyond 7 per cent post the issue

Leading public sector financier for the renewable energy sector, Indian Renewable Energy Development Agency Ltd (Ireda), on Thursday said it will raise up to Rs 5,000 crore through Qualified Institutions Placement (QIP) of equity shares, in one or more tranches.  “The initiative is aimed at strengthening Ireda’s financial resources to support the growing demand for green energy financing. The issuance will proceed after obtaining necessary approvals from shareholders and regulatory authorities,” the company said in a public statement.  The company clarified that the planned issuance would not dilute the stake of the government of India in the company beyond 7 per cent post the issue. Pradip Kumar Das, chairman and managing director, IREDA, said: “This fundraising initiative through QIP reflects Ireda’s steadfast commitment to strengthening India’s renewable energy ecosystem. It will enable us to scale up financial support for clean energy projects and further reinforce our leadership in the sector.”  The non-banking financial company (NBFC), which is under the aegis of the Ministry of New and Renewable Energy (MNRE), is aiming to raise Rs 24,200 crore in 2024-25. Ireda launched its initial public offering (IPO) in December 2023 and debuted on Dalal Street after two failed attempts over the last decade. Ireda is currently the only public sector NBFC focused exclusively on green energy sectors.