Reliance Power Board Clears ₹9,000 Crore Fundraise via QIP, FPO, and NCDs

Reliance Power, backed by Anil Ambani, is looking to raise fresh capital to the tune of ₹9,000 crore, according to a board decision taken on Wednesday, July 16. The funds will be raised through a mix of equity and debt, though the finer details will depend on shareholder and regulatory approvals.

Of this, the company aims to raise up to ₹6,000 crore by issuing equity shares or related securities. The capital could be mobilised through a Qualified Institutional Placement (QIP), a follow-on public offer (FPO), or a combination of both. The proposal still needs shareholder approval before it can move forward.

Separately, the board has also approved raising ₹3,000 crore through non-convertible debentures (NCDs). These could be issued as secured or unsecured instruments in one or more tranches. The company hasn’t shared a timeline yet, noting that it will proceed once all necessary permissions are in place. The capital raise comes at a time when Reliance Power is showing signs of financial recovery.

For the quarter ended March 31, 2025, the company reported a net profit of ₹125.6 crore. That’s a stark improvement from the ₹397.6 crore loss it posted in the same quarter a year earlier.

Revenue from operations, however, saw a marginal dip. The figure stood at ₹1,978 crore, compared to ₹1,997 crore during the March 2024 quarter. EBITDA surged to ₹589.8 crore, up from just ₹48.8 crore in the same period last year. EBITDA margin also rose sharply to 29.8%, compared to a mere 2.4% a year ago.

These results point to tighter cost controls and stronger operational efficiency, a likely driver behind the board’s decision to explore new funding options.

For feedback and suggestions, write to us at [email protected]