IREDA Board approves Rs 4,500 cr fundraise plan

The board of state-owned IREDA on Thursday approved a proposal to raise Rs 4,500 crore.

The funds will be raised in one or more tranches through further public offer (FPO)/qualified institutional placement (QIP)/rights issue/preferential issue or any other permitted mode or combination, subject to the statutory or government approval, IREDA said in an exchange filing.

The type and the number of securities to be issued shall be decided subsequently, it said. IREDA, under the Ministry of New & Renewable Energy, is engaged in providing finance to mainly renewable energy projects.

The fundraising assumes significance as India has an ambitious target of having 500 GW renewable energy by 2030 and needs to add about 50 GW capacity per annum to achieve the goal.