Reliance Power on Wednesday said its subsidiary Rosa Power has prepaid Rs 850 crore of its debt to Singapore-based lender Varde Partners. With this repayment, Rosa Power is on track to become debt-free, it said.
The company aims to settle its remaining debt in the next quarter, completing the process before the end of the current financial year, Reliance Power said in a statement.
Rosa Power, which operates a 1,200 MW thermal power plant in Rosa village near Shahjahanpur, Uttar Pradesh, has Varde Partners as its sole lender.
The strengthening of Rosa Power’s balance sheet, along with a recent Rs 1,525-crore preferential issue, will support RPower in exploring new business opportunities, particularly in the renewable energy sector, the company said.
Reliance Power’s stock hit the upper circuit of 5% on Thursday.
The company’s board approved the preferential issue on Monday, with over Rs 600 crore coming from its promoter company, Reliance Infrastructure, and the remaining Rs 900 crore from Authum Investment and Infrastructure and Sanatan Financial Advisory Services. The proceeds will be used to expand business operations, either directly or through investments in its subsidiaries.
From: financialexpress
Financial News
