Rel Infra To Raise Rs 550 Cr From Anil Ambani Group, Varde Investment

The Board of Directors of Reliance Infrastructure on Sunday approved raising of funds up to Rs 550.56 crore from its promoter, the Anil Ambani group and from Varde Investment.

The company said it will make a preferential allotment of up to 88.8 million equity shares and / or warrants convertible into equivalent number of shares, to promoter group and VFSI Holdings Pte. Limited, an affiliate of Värde Investment Partners, LP.

The funds raised would be utilised for long term resources, for general corporate purposes, fund future growth and also to reduce the debt of the company.

The Board approved seeking approval of shareholders through a postal ballot in a meeting held today.

The fund raising will be subject to all requisite permissions, sanctions and approvals as may be necessary.

Reliance Infrastructure is one of the largest infrastructure companies, developing projects through various Special Purpose Vehicles (SPVs) in several high growth sectors such as Power, Roads and Metro Rail in the infrastructure space and the defence sector.

Post issue, promoter stake will rise to 23 per cent while Varde will own 7 per cent. The remaining stake will be held by the public and by the institutions.

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