Anil Ambani's Reliance Infra, Power to raise ₹9,000 cr each via QIP, NCDs

Reliance Infrastructure and subsidiary Reliance Power will raise Rs 9,000 crore each via equity and debt routes, as board approvals clear fresh capital infusion

The board of directors at Anil Ambani-promoted Reliance Infrastructure approved raising funds of Rs 9,000 crore on Wednesday.

 

Of this, the company will raise Rs 6,000 crore through the issuance of equity shares and/or equity-linked instruments or other eligible securities to qualified institutional buyers by way of a Qualified Institutions Placement (QIP), follow-on public offer (FPO), or a combination thereof.

 

Meanwhile, the company will issue secured or unsecured, redeemable, non-convertible debentures (NCDs) of up to Rs 3,000 crore, in one or more tranches or series, on a private placement basis or otherwise.

 

The issue of the above securities shall be subject to requisite permissions, sanctions and approvals, and as per the applicable provisions of law.

 

 

Separately, the board of directors at Reliance Power, Reliance Infrastructure’s subsidiary, also approved a fundraise of Rs 9,000 crore. 

 

Like Reliance Infrastructure, Reliance Power will raise Rs 6,000 crore through the issuance of equity shares and/or equity-linked instruments or other eligible securities to qualified institutional buyers by way of a QIP, FPO, or a combination thereof.

 

Reliance Power will issue secured or unsecured, redeemable, non-convertible debentures of up to Rs 3,000 crore, in one or more tranches or series, on a private placement basis or otherwise, the company informed the stock exchanges on Wednesday.

 

Recently, Reliance Infrastructure’s ‘default’ credit rating was removed after six years, as ratings firm India Ratings and Research (Ind-Ra) upgraded the company’s credit rating on its existing non-fund-based working capital limits from ‘IND D’ to ‘IND B / Stable’.

 

Additionally, on Wednesday, Reliance Infrastructure’s shares listed on the Bombay Stock Exchange (BSE) closed at Rs 400.35 per equity share, while those of Reliance Power closed at Rs 66.06 per equity share.