IREDA shareholders approve Rs 5,000 crore fundraising via QIP

New Delhi: Shareholders of Indian Renewable Energy Development Agency Limited (IREDA) have approved the company’s proposal to raise up to Rs 5,000 crore through a Qualified Institutions Placement (QIP) of equity shares. The fundraising will take place in one or multiple tranches. The approval was granted via remote e-voting during the company’s 22nd Extra-Ordinary General Meeting (EGM) held on Monday through video conferencing.

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The meeting was chaired by IREDA's Chairman and Managing Director (CMD) Pradip Kumar Das and attended by Directors on the Board and shareholders. The company’s Board had previously approved the fundraising plan on January 23, which includes diluting the Govt’s shareholding by up to 7 percent post-issue equity in one or multiple tranches.

Addressing the shareholders, Das highlighted IREDA’s strong financial performance in the first nine months of FY 2024-25. The company reported a loan book of Rs 68,960 crore, loan sanctions of Rs 31,087 crore, and disbursements of Rs 17,236 crore.

“The funds raised through QIP will strengthen our green financing capabilities, accelerate loan book growth, and support India’s clean energy targets,” Das stated.

Das also informed shareholders about a recent milestone achieved by IREDA. Its wholly owned subsidiary, IREDA Global Green Energy Finance IFSC Limited, has received the Certificate of Registration from the International Financial Services Centre Authority (IFSCA). This approval enables the subsidiary to commence operations as a Finance Company at GIFT City, Gujarat.

“This milestone strengthens IREDA’s commitment to lending and serving in foreign currency by reducing hedging risks,” Das added.

In addition to approving the fundraising proposal, shareholders also consented to amendments in IREDA’s Articles of Association. The changes include provisions for the formation of joint ventures and subsidiaries in India and abroad. Furthermore, they empower the Board to exercise enhanced powers under ‘Navratna’ status, subject to government guidelines.

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