IREDA Raises ₹2,005.90 Crore via QIP for Green Energy Growth

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IREDA Secures ₹2,005.90 Crore via Oversubscribed QIP to Accelerate Green Energy Financing

By S JHA

MUMBAI, June 11, 2025 – Indian Renewable Energy Development Agency Ltd. (IREDA) has successfully raised ₹2,005.90 crore through a Qualified Institutions Placement (QIP), bolstering its mission to drive India’s renewable energy sector.

The company issued 12.15 crore equity shares at ₹165.14 per share, including a premium of ₹155.14 over the face value of ₹10, at a 5% discount to the floor price of ₹173.83.

Launched on June 5 and closed on June 10, 2025, the QIP attracted strong demand from a diverse pool of domestic and foreign qualified institutional buyers (QIBs), including insurance companies, commercial banks, and foreign portfolio investors.

“The issue was oversubscribed 1.34 times, with bids totalling ₹2,005.90 crore against a base issue size of ₹1,500 crore. The IREDA Board approved the share allotment on June 11, 2025,” said the PIB in a media statement.

This capital infusion strengthens IREDA’s Tier-I capital and Capital Adequacy Ratio (CAR), enhancing its ability to finance renewable energy projects across India. “The funds will support the company’s efforts to scale up green financing, aligning with India’s ambitious clean energy goals,” added the PIB in the media statement.

Pradip Kumar Das, Chairman & Managing Director, IREDA, hailed the QIP’s success as a reflection of investor confidence, stating, “Following our IPO in November 2023, this oversubscribed QIP underscores the trust of investors and the Ministry of New & Renewable Energy in IREDA’s vision. This capital will empower us to accelerate investments in renewable energy, advancing India’s sustainable energy future.”

Das expressed gratitude to Union Minister Pralhad Joshi, Minister of State Shri Shripad Naik, MNRE Secretary Santosh Kumar Sarangi, DIPAM, and IREDA’s Board for their unwavering support.

“IREDA also thanked its institutional investors and stakeholders for their continued backing,” added the PIB in its statement.

As of June 11, 2025, IREDA’s stock has been a strong performer on the BSE and NSE since its IPO in November 2023, reflecting robust investor interest in India’s renewable energy sector. On the day of the QIP announcement, IREDA’s shares traded at approximately ₹170-175, showing resilience despite the discounted QIP pricing.

Analysts view the capital raise as a positive step, likely to enhance IREDA’s growth prospects and stock appeal, given its pivotal role in financing India’s renewable energy targets, including the 500 GW non-fossil fuel capacity goal by 2030.

However, market observers note that short-term price volatility may occur due to the share dilution from the QIP.

“IREDA remains committed to leading India’s clean energy financing, leveraging this capital to support innovative renewable energy projects and contribute to a greener, sustainable future,” added the PIB in its statement.

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