Reliance Power to Consider Stake Sale for Fundraising on October 3 - Read Now

Reliance Power Ltd is set to hold a board meeting on October 3, 2024, to discuss plans for a stake sale as part of its efforts to raise funds. This announcement was made through the company's BSE filing on Friday, following the market session.

The company aims to raise money through various methods, including issuing equity shares, equity-linked securities, convertible warrants, or even a rights issue. These funds could come from either domestic or global markets, depending on the board's approval.

Reliance Power's share price saw a 4.98% increase on Friday, closing at ₹46.36, compared to the previous day's ₹44.16. The company's BSE filing, which was released after market hours, outlined the fundraising options being considered by the board.

In the filing, Reliance Power stated, "The board of directors will meet on October 3, 2024, to approve the raising of long-term resources, either from the domestic or global markets, by issuing equity shares, securities, or convertible bonds. This may be done through preferential issues, qualified institutional placements (QIPs), rights issues, or foreign currency convertible bonds."

Reliance Power is looking to use the funds to expand its renewable energy segment as part of its future growth strategy.

Earlier, on September 23, 2024, the company approved the issuance of 46.20 crore preferential shares, raising ₹1,524.60 crore. The shares were issued at a price of ₹33 per share. The funds raised through this preferential allotment will be used for expanding the company’s operations, reducing debt, and fulfilling other business needs.

With nearly 6000 MW of power generation capacity, Reliance Power is focusing on expanding its renewable energy portfolio while also working to strengthen its financial position through these fundraising activities.

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