Reliance Infra will raise ₹ 550 crore from the promoter, VFSI Holdings to repay the debt | Daily News Byte

The funds raised would be used for long-term resources, for general corporate purposes and to finance growth, as well as to reduce debt, the company said in a statement.

Shares and/or warrants will be issued at a price of ₹62 apiece based on Sebi (Securities and Securities Board of India) regulations, the company added.

On Friday, shares of Reliance Infra closed at ₹69.85 per piece on the Belgrade Stock Exchange.

“The above will be subject to all necessary permits, sanctions and approvals that may be necessary,” the statement said.

RInfra is an infrastructure company engaged in project development through various special purpose vehicles (SPVs) in several high growth sectors such as power, roads and metro rail in the infrastructure space and defense sector.

RInfra is a provider of engineering and construction (E&C) services for the development of power, infrastructure, metro and road projects.

RInfra, through its SPVs, has executed a portfolio of infrastructure projects such as the Mumbai Metro Rail project on a Build, Own, Operate and Transfer (BOOT) basis; nine road projects on a Build, Operate and Transfer (BOT) basis.

RInfra is also present in the power distribution business in Delhi. The promoters will invest ₹400 million as part of this investment, and Varde will invest ₹150 million, the company announced. After the investment, the promoters will have 23 percent in the company, Varde will have 7 percent, while public investors will have 70 percent.

RInfra sought to liquidate its assets to reduce its debt. In January, it closed the sale of its Delhi Agra toll project to private equity investor Squared Capital and Indian road platform Cube Highways at an enterprise value of ₹3,600 crowns.