Reliance Infrastructure Limited’s (RInfra) board has approved the subscription of preferential issue of up to 595 million equity shares and up to 730 million warrants convertible into equivalent number of equity shares of Reliance Power Limited (RPower), by conversion of outstanding debt including interest aggregating up to Rs 13.25 billion.
The preferential issue by RPower will be made at an issue price of Rs 10 per share. The shareholding of RInfra and promoter group in RPower will increase to around 25 per cent after the issue of equity shares and will further increase to over 38 per cent post conversion of warrants.