Reliance Infrastructure to Raise Rs 3,014 Crore via Preferential Share Issue

Reliance Infrastructure's board approved raising Rs 3,014 crore through preferential issuance of equity shares to Risee Infinity Pvt Ltd and other investors. The issue aims to enhance the promoters' equity stake and is conducted as per SEBI regulations. Funds will support business expansion and the company's ambitious growth plans.

Reliance Infrastructure announced on Thursday that its board of directors has given the green light to raise Rs 3,014 crore by issuing up to 12.56 crore equity shares through a preferential issue.

In a regulatory filing, Reliance Infrastructure stated that the preferential issue will be allotted to Risee Infinity Pvt Ltd, a promoter group company, along with Florintree Innovation LLP and Fortune Financial & Equities Services Pvt Ltd.

The company highlighted that the preferential issue will increase the promoters' equity stake and will be conducted in accordance with SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. Additionally, Reliance Infrastructure's board approved seeking shareholder authorization to raise up to INR 3,000 crore through a qualified institutional placement.

The proceeds from the preferential issue will be utilized for business expansion, investment in subsidiaries and joint ventures, meeting long-term working capital requirements, and general corporate purposes. The company's net worth is expected to rise from over Rs 9,000 crore to over Rs 12,000 crore with near-zero debt, enabling participation in high-growth sectors supporting the government's 'Make In India' and 'Viksit Bharat' visions.

(With inputs from agencies.)