Reliance Infra, Reliance Power make investors wealthier by 56% in 2 weeks

With investors cheering a string of positive news developments, Reliance Infrastructure (RELINFRA) and Reliance Power (RPOWER) shares have delivered remarkable returns in the recent past. As of Monday, September 30, Reliance Infrastructure and Reliance Power shares have grown 55.8 per cent and 56.5 per cent in the past two weeks, according to exchange data. In other words, both stocks have aided a 56 per cent increase in the wealth of their investors. Reliance Infrastructure (popularly known as RInfra) and Reliance Power are part of the Reliance Group, led by top businessman Anil Ambani. 

What's special about the rally in both stocks?

Reliance Infrastructure shares have grown all the way to Rs 336-odd levels from Rs 215 over the two-week period while the Reliance Power stock has reached almost Rs 49 from Rs 31. 

Also, Reliance Power has hit the 5 per cent upper circuit limit for nine trading sessions in a row during this period. 

The rally has reportedly benefitted around 47 lakh small investors, with 7 lakh investors in Reliance Infra and 40 lakh in Reliance Power.

What has powered the surge in Reliance Group stocks?

Many analysts say that news developments related to the group's successful transformation from being debt-heavy to zero debt has rekindled investor interest and confidence in both Reliance Power and Reliance Infra. 

ALSO READ: Reliance Infra, Reliance Power investors cheer debt settlement milestones

This month, Reliance Power announced having achieved a zero debt status while Reliance Infra reduced its debt obligations by by 87 per cent to Rs 475 crore. 

Additionally, over the past few weeks, both companies have announced fundraising plans that cement investors' optimism with their bright future prospects.

Reliance Infrastructure plans to raise Rs 3,000 crore and Reliance Power Rs 1,500 crore through preferential allotment of shares.