The board of directors of Reliance Infrastructure on Thursday approved a proposal seeking to raise ₹3,014 crore through a preferential issue.
The board also gave the green signal to seek an enabling resolution from shareholders to raise funds of up to ₹3,000 crore through a qualified institutional placement.
The company will do a preferential issue of up to 12.56 crore equity shares or warrants convertible into equivalent number of equity shares at a price of ₹240 per share or warrant arrived at in accordance with the Sebi ICDR Regulations.
Reliance Infrastructure said the preferential issue will be made to Risee Infinity, a promoter group company, and to other investors, including Florintree Innovation LLP and Fortune Financial & Equities Services Pvt Ltd.
The preferential issue will lead to an increase in the promoters equity stake which now stands at 16.50 per cent.
The preferential issue proceeds would be used for expansion of business operations directly or through investment in subsidiaries and joint ventures, including meeting the long-term working capital requirements and for general corporate purposes. It is expected to enhance the company’s networth from over ₹9,000 crore to above ₹12,000 crore.
