IREDA raises ₹2,005.9 crore via QIP to bolster clean energy financing
New Delhi: State-run Indian Renewable Energy Development Agency Ltd. (IREDA) has raised ₹2,005.90 crore through a Qualified Institutions Placement (QIP), reinforcing its financial base to expand funding for renewable energy projects across the country.
The issue, launched on June 5 and closed on June 10, involved the placement of 12.15 crore equity shares at ₹165.14 per share, including a premium of ₹155.14 over the ₹10 face value.
The final issue price represents a 5% discount to the floor price of ₹173.83.
Despite the discount, the QIP drew strong demand from a wide spectrum of domestic and foreign Qualified Institutional Buyers (QIBs) such as insurance firms, commercial banks, and foreign portfolio investors.
The offering was oversubscribed 1.34 times, comfortably exceeding the base issue size of ₹1,500 crore.
IREDA’s Board approved the share allotment to eligible QIBs in a meeting held today.
“This capital infusion will empower us to scale up our financing activities, enabling greater investments in renewable energy projects and accelerating India’s transition towards a greener and sustainable energy future,” said Pradip Kumar Das, Chairman & Managing Director, IREDA.
He described the successful QIP as a vote of confidence from the investment community and the Ministry of New & Renewable Energy (MNRE), especially coming shortly after IREDA’s IPO in November 2023.
The proceeds will boost IREDA’s Tier-I capital and strengthen its Capital Adequacy Ratio (CAR), allowing the company to increase its lending capacity and extend support to India’s growing clean energy ecosystem.
CMD Das also extended his gratitude to Union Minister Pralhad Joshi, Minister of State Shripad Naik, MNRE Secretary Santosh Kumar Sarangi, DIPAM, and the Board of Directors for their guidance and support.
As a key financing arm of India’s energy transition, IREDA reiterated its commitment to driving clean energy development and sustaining momentum toward a low-carbon economy.
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