Reliance Infrastructure board approves raising funds of over 550 crore rupees

The board of Anil Ambani-led Reliance Infrastructure Limited (RInfra) on Sunday gave its approval to raising Rs. 550.56 crore in fresh funding.

The funds will be raised by preferential allotment of up to 8.88 crore equity shares and / or warrants convertible into equivalent number of shares of the company to promoter group and VFSI Holdings Pte. Limited, an affiliate of Värde Investment Partners, LP.

The issue price of shares is set at 62 rupees apiece.

The funds will be utilised for long-term resources, for general corporate purposes, fund future growth and to reduce debt, the Indian company said in a release.

The board of directors gave its nod to seeking approval of the members of the company for the proposal through postal ballot, said RInfra, one of India’s largest infrastructure companies.

RInfra has projects in various infrastructure sectors such as power, roads and Metro Rail, as well as in the defence sector.