Mumbai : Reliance Infrastructure Board on Sunday approved the subscription of preferential issue of up to 59.5 crore equity shares and up to 73 crore warrants convertible into equivalent number of equity shares of Reliance Power Limited (Reliance Power), by conversion of outstanding debt including interest aggregating up to Rs. 1,325 crore.
The Preferential Issue by Reliance Power shall be made at an Issue Price of Rs. 10 per Share, as per SEBI (ICDR) Regulations. Shareholding of Reliance Infra and promoter group in Reliance Power will increase to about 25% after the issue of equity shares and will further increase to over 38% post conversion of warrants.
Reliance Power is India’s leading private sector power generation and coal resources company. Reliance Power has one of the largest portfolios of power projects in the private sector in India, based on coal, gas and renewable energy, with an operating portfolio of 5,945 megawatts.
Subscription to preferential Issue will be huge value creator for ~ 8 lakhs shareholders of Reliance Infra. The above shall be subject to all requisite permissions, sanctions and approvals as may be necessary.