Reliance Power said it has received shareholders' approval to raise ₹1,524.60 crore through issuance of preferential shares.
A resolution through a postal ballot notice has been passed with requisite majority, the company said in a late-night stock exchange filing on Wednesday.
According to the postal ballot notice, the company will raise up to ₹1,524.60 crore by preferential issue of up to 46.20 crore equity shares and/or warrants convertible into equivalent number of equity shares at a price of ₹33 apiece.
On September 23, the board of Reliance Power Ltd had approved raising ₹1,524.60 crore through issue of preferential shares, wherein promoters will infuse ₹600 crore into the company to advance its business.
Reliance Infrastructure, the promoter of the company, will enhance its equity stake by over ₹600 crore. The other investors who will participate in the preferential issue include Authum Investment and Infrastructure Ltd and Sanatan Financial Advisory Services.
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The fresh fund would be utilised for expansion of business operations directly and/or through investment in subsidiaries and joint ventures, debt reduction and for general corporate purposes, the company said.
The preferential issue will enhance the company's net worth from about ₹11,155 crore to over ₹12,680 crore, it said.