Reliance Power shares hit 5% upper circuit to fresh high ahead of board meeting

Shares of Reliance Power surged 5% in an early trading session today to hit its upper circuit and a new 52-week high of Rs 38.16 on BSE ahead of the company’s board meeting scheduled later today for considering fundraise plans.

“We wish to inform you that a meeting of the Board of Directors of the Company will be held on Monday, September 23, 2024, inter alia, to consider and approve raising of long term resources from domestic and/or global markets, inter alia, by issue of equity shares/ equity linked securities/ warrants convertible into equity shares, by way of preferential issue and/or qualified institutional placement and/or rights issue and/or foreign currency convertible bonds or any other method including determination of issue price, if any and seeking members’ and other approval(s),” said the company in an exchange filing.

The stock also witnessed a surge in its share price in the last week when the company announced that it had settled its obligations worth Rs 3,872.04 crore related to the guarantee for the lenders of Vidarbha Industries Power (VIPL).


Additionally, the company informed that it settled all its disputes with CFM Asset Reconstruction, and 100% of VIPL's shares have been pledged to CFM in exchange for the release and discharge of the aforementioned guarantee provided by Reliance Power.

CFM became the sole creditor of VIPL after it acquired loans from lenders at Rs 1,265 crore in an all-cash deal in September last year. The company had a principal debt of Rs 2,800 crore.

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The company had also recently announced that it had secured a battery storage contract of 500 MW through the e-reverse auction (eRA) conducted by the Solar Energy Corporation of India (SECI).

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