Tue Sep 24 03:11:27 UTC 2024: ## Reliance Power to Raise Rs 1,524.60 Crore Through Preferential Share Issue

**Mumbai, India -** Reliance Power Ltd. announced plans to raise Rs 1,524.60 crore through a preferential issue of 46.2 crore equity shares at a discounted price of Rs 33 per share. The move comes as the Anil Ambani-led company seeks to strengthen its financial position and expand its footprint in the renewable energy sector.

The issue will be made to promoter Reliance Infrastructure Ltd, which will hold 24.88% of Reliance Power’s paid-up equity share capital after the allotment, and non-promoter entities Authum Investment and Infrastructure Ltd and Sanatan Financial Advisory Services Private Ltd.

Reliance Power aims to utilize a significant portion of the proceeds (Rs 803.60 crore) to invest in renewable energy projects and other new business opportunities. The company also intends to use Rs 340 crore to convert existing debt from Reliance Infrastructure Ltd, thus reducing its overall debt and enhancing financial stability.

The remaining 25% of the proceeds will be used for general corporate purposes, including meeting operational expenses, corporate exigencies, and managing contingencies.

Reliance Power highlighted its zero bank debt on a standalone basis and emphasized its commitment to expanding its presence in the renewable energy sector. The company believes this capital infusion will position it for sustainable growth and enhance shareholder value.

This news comes as Reliance Power seeks to capitalize on the growing demand for renewable energy and bolster its position in the sector. The company’s move to raise capital and reduce debt is seen as a strategic step towards achieving its long-term growth objectives.

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