Stock MarketBusiness

Reliance Infra to raise ₹550 crore from promoters

1 Mins read

Anil Ambani’s Reliance Infrastructure Ltd (RInfra) on Sunday said that its board has approved raising a sum of ₹550.56 crore by preferential allotment of up to 88.8 million shares and/or warrants convertible into shares of the corporate to promoter group and VFSI Holdings Pte. Ltd, an affiliate of Värde Investment Partners LP.

The funds raised would be utilized for long-term resources, for general corporate purposes, and to fund growth also on reduce debt, the corporate said during a statement.

The shares and/or warrants are going to be issued at a price of ₹62 apiece supported Sebi (Securities and Exchange Board of India) regulations, the corporate added.

On Friday, shares of Reliance Infra closed at ₹69.85 apiece on the BSE.

“The above shall be subject to all or any requisite permissions, sanctions and approvals as could also be necessary,” the statement said.

RInfra is an infrastructure company involved developing projects through various special purpose vehicles (SPVs) in several high growth sectors like power, roads and metro rail the infrastructure space and therefore the defence sector.

RInfra may be a provider of engineering and construction (E&C) services for developing power, infrastructure, metro and road projects.

RInfra, through its SPVs, has executed a portfolio of infrastructure projects like a metro rail project in Mumbai on build, own, operate and transfer (BOOT) basis; nine road projects on build, operate and transfer (BOT) basis.

RInfra also features a presence within the power distribution business in Delhi. The promoters will invest ₹400 crore as a part of this investment, and Varde will invest ₹150 crore, the corporate said. Following the investment, the promoters will hold 23% within the company, Varde will own 7%, while 70% are going to be held by public investors.

RInfra has been looking to monetize its assets to scale back its debt. In January, it closed the sale of its Delhi Agra road project to non-public equity investor I Squared Capital’s Indian roads platform Cube Highways for an enterprise value of ₹3,600 crore.

Related posts
BusinessStock Market

Future-Reliance deal: SC stays proceedings in Delhi HC; asks NCLT, CCI, SEBI not to pass final orders

4 Mins read
New Delhi, Sep 9 (PTI) The Supreme Court Thursday stayed for four weeks all proceedings before the Delhi supreme court associated with the implementation of Singapore International Arbitration Centre’s (SIAC)…

FRL-Reliance deal: Will decide if EA award valid, enforceable, says SC

4 Mins read
The Supreme Court Tuesday said it might decide whether Singapore’s Emergency Arbitrator (EA) award, restraining Future Retail Ltd (FRL) from going ahead with its merger affect Reliance Retail, was valid under Indian law and…
Get the latest updates by subscribing to us

Subscribe to us for getting the benefits of climbstreet and latest updates

Leave a Reply

Your email address will not be published. Required fields are marked *