IREDA shareholders approve ₹5,000-crore fund raise via QIP

Shareholders of Indian Renewable Energy Development Agency Ltd. (IREDA) have approved the company’s proposal to raise up to ₹5,000 crore through Qualified Institutions Placement (QIP) of equity shares, in one or multiple tranches. 

The approval was granted by the shareholders in favour of the resolution via remote e-voting during the 22nd Extra-Ordinary General Meeting (EGM) held on Tuesday through video conferencing. 

IREDA’s Board had earlier approved the fundraising plan on January 23, which includes the dilution of the Government of India’s shareholding in the company by up to 7% post-issue equity, in one or multiple tranches.

Addressing the shareholders, Pradip Kumar Das, CMD, “The funds [to be] raised through QIP will strengthen our green financing capabilities, accelerate loan book growth, and support India’s clean energy targets.

He said that IREDA Global Green Energy Finance IFSC Ltd, a wholly owned subsidiary of the company, recently received the Certificate of Registration from the International Financial Services Centre Authority (IFSCA), allowing it to commence business 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,” he added.