Reliance Power to raise Rs 76,472.80 crore via debt

New Delhi, Oct 5 (UNI) Reliance Power, a part of the Anil Ambani group, will raise over Rs 76,472.80 crore to finance twelve projects, including the 3,960 MW Sasan ultra mega power project.

According to the draf red herring prospectus (DRHP) filed with market regulator SEBI, the company has already mandated Macquarie Advisory, ABN Amro and Deutsche Bank for raising syndicated loan of nearly Rs 24,000 crore.

This is in addition to the company's mega IPO of about Rs 12,000 crore, making it the biggest IPO of the country.

The public issue will offer 1.3 billion shares, representing 11.5 per cent stake in the post-issue paid-up equity, of Rs 2 each through an entirely book-built process.

Of this, the promoters Reliance Energy and AAA Projects will subscribe to 160 million shares, or 1.4 per cent stake. The promoter firms will bring in funds a day before the bid opens.

According to the DRHP, Reliance Power, which is described as the primary vehicle of the Ambani group in power generation, will undertake project works in six coal-fired projects (10,620 MW) to be fuelled by reserves from captive mines and supplies from India and abroad, two gas-fired projects (10,280 MW) to be fuelled primarily by reserves from the Krishna Godavari Basin off the east coast of India, and three hydroelectric projects in Arunachal Pradesh and one in Uttarakhand (3,300 MW) Among other projects, the funds will be utilised in the projects like the 600 MW Rosa phase-I, 600 MW Rosa phase-II, 300 MW Butibori, 3,960 MW Sasan, 1,200 MW Shahapur and 400 MW Urthing Sobla project.

The 11.5 per cent of Reliance Power's expanded equity will result in a market capitalization of over Rs 1,00,000 crore for the company post listing. This will be the second company after Reliance Communications in the Anil Ambani stable to have a market capitalisation of over Rs 1,00,000 crore.

UNI