New Delhi: Reliance Infrastructure announced on Thursday that its board has given the green light for raising Rs 3,014 crore through preferential issue of up to 12.56 crore equity shares. In a filing with regulatory authorities, the company announced that the preferential issue will be offered to Risee Infinity Pvt Ltd, a promoter group company, as well as to other investors such as Florintree Innovation LLP and Fortune Financial & Equities Services Pvt Ltd.
The preferential offering will lead to an increase in the promoters' ownership percentage. The preferential allotment will be conducted in compliance with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 and any other relevant legislation.
Reliance Infrastructure stated that the board also agreed to request permission from shareholders to raise a maximum of INR 3,000 crore through a qualified institutional placement. As per the submission, the money raised from the preferential issue will be utilized to grow business operations either directly or through investing in subsidiaries and joint ventures, as well as to cover long-term working capital needs and general corporate expenses.
The company stated that the preferential issue will increase their net worth from above Rs 9,000 crore to above Rs 12,000 crore. The company has almost no debt. It stated that the increased capital would help the company contribute to high-growth sectors to support the government's goals of 'Make In India' and 'Viksit Bharat'.
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