Reliance Infrastructure has grown ₹550.56 crore by issuing securities on a preferential basis, the company said on Monday in a regulatory filing. In this issue, the company headed by Anil Ambani allocated 8.88 crore of warrants convertible into an equivalent number of shares.
“Following the approval of the members, by postal vote, Reliance Infrastructure Limited (Reliance Infra) today awarded 8.88 crore of warrants convertible into an equivalent number of shares of the Company to Risee Infinity Private Limited, a promoter group company and VFSI Holdings Pte Limited, a subsidiary of Varde Investment Partners, LP, ”Reliance Infrastructure said in the filing.
After this allocation, the stake of the promoter group in Reliance Infrastructure would increase to 22.06% upon full conversion of the warrants, he added.
The warrants were issued at a price of ₹62 per unit, equivalent to 25 percent of the issue price paid upon subscription and grant of each warrant, said Reliance Infra. The balance of 75 percent will be payable by the warrant holder (s) upon exercise of the right attached to the warrant (s), he added.
Reliance Infrastructure has previously said the funds will be used for long-term general corporate purposes, to fund future growth, and to reduce corporate debt.
Reliance Infrastructure is engaged in the development of projects through various Special Purpose Vehicles (SPV) in several high growth sectors such as electricity, roads and metro rail in the infrastructure space and the defense sector.
Reliance Infra shares ended the day at ₹78.95, down 1.05 points or 1.31%.
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