IREDA open to dilute govt stake to 51pc
Indian Renewable Energy Development Agency Ltd (IREDA) plans to dilute government equity by expanding its capital base, a top company official said on Tuesday.
By PTI |
KOLKATA: Indian Renewable Energy Development Agency Ltd (IREDA) plans to dilute government equity by expanding its capital base, a top company official said on Tuesday.
"IREDA will issue fresh capital to financial institutions to garner resources to meet its future capital requirement," IREDA managing director Debashish Majumdar said here on Tuesday.
Development multilateral agencies like International Finance Corporation, Asian Development Bank and German agency Kfc have already expressed interest, he said.
Over the next six months, IREDA might offer some stake to these development agencies, but the PSU is yet to send the divestment proposal to Centre for its nod, he said.
"We will do it shortly," Majumdar said, adding there is no proposal for public offer as of now.
"Government will infuse Rs 90 crore in the paid up capital of the company but it had indicated clearly that the agency will have to arrange for its own funds for future capital needs," he said.
In view to this, IREDA will dilute government stake to a maximum of 49 per cent.
The current paid-up capital of IREDA is Rs 400 crore and by end of the current fiscal it will go up to Rs 490 crore. The authorised capital of IREDA is Rs 1,000 crore.
Meanwhile, IREDA was now contemplating to venture into equity financing in the renewable energy ventures.
"Tradionally we are involved in debt financing. Now we are thinking to take equity exposure. But, it is not in the immediate agenda," Majumdar said.
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