Reliance Power to sell 15% stake to VFSI Holdings for Rs 933 crore

9 Sep 2022 , 08:21 AM

Reliance Power Ltd. (RPL), owned by Anil Ambani, announced in a filing with the stock exchange on Thursday that it would sell a 15% interest to VFSI Holdings in order to raise Rs 933 crore.

Reliance Power announced that it would issue up to Rs60 crore equity shares and/or warrants convertible into equity shares to VFSI Holdings Pte. Limited through preferential allotment on a private placement basis and, in this regard, would enter into an investment agreement with the investor.

VFS Holdings is a part of the international alternative investment company Värde Investment Partners LP.

RPL and its subsidiary announced on Monday that they had reached a deal with Varde Partners for the borrowing of up to Rs1,200 crore ($150 million) in debt for the settlement and discharge as well as the acquisition and restructuring of some financial debt accessed by RPL.

RPL had stated in a regulatory filing on Monday that “the drawdown of the debt will be subject to the finalization and execution of binding contracts and all necessary approvals, including regulatory clearances as per applicable rules, laws, and regulations.”

With an operating portfolio of 5,945 megawatts, RPL has a portfolio of power projects based on coal, gas, hydro, and renewable energy in the private sector.

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