Shareholders of the Indian Renewable Energy Development Agency (IREDA) have approved the company’s proposal to raise up to ₹5,000 crore through Qualified Institutions Placement (QIP) of equity shares. The approval was granted during the 22nd Extra-Ordinary General Meeting (EGM) held today via video conferencing, with shareholders voting in favour of the resolution through remote e-voting.
The meeting was chaired by Pradip Kumar Das, Chairman and Managing Director (CMD) of IREDA, and attended by the company’s Board of Directors and shareholders. The fundraising initiative, which was initially approved by IREDA’s Board on January 23, 2025, includes a planned dilution of the Government of India’s shareholding in the company by up to 7% post-issue equity, to be executed in one or multiple tranches.
Addressing the shareholders, Pradip Kumar Das emphasised IREDA’s strong financial performance in the first nine months of FY 2024-25. He highlighted the company’s loan book of ₹68,960 crore, loan sanctions worth ₹31,087 crore, and total disbursements of ₹17,236 crore.
“The funds raised through QIP will enhance our green financing capabilities, drive loan book growth, and support India’s clean energy objectives,” Das stated.
In a significant development, IREDA’s wholly owned subsidiary, IREDA Global Green Energy Finance IFSC Limited, has recently obtained the Certificate of Registration from the International Financial Services Centre Authority (IFSCA). This authorisation allows the subsidiary to commence operations as a Finance Company at GIFT City, Gujarat.
“This milestone underscores IREDA’s commitment to expanding its lending portfolio and facilitating foreign currency transactions while mitigating hedging risks,” Das noted.
Apart from approving the QIP fundraising plan, shareholders also consented to amendments in IREDA’s Articles of Association. The key modifications include provisions for forming joint ventures and subsidiaries both in India and abroad, as well as granting the Board enhanced decision-making powers under the ‘Navratna’ status, subject to government regulations.
The latest developments reaffirm IREDA’s strategic efforts to bolster its position as a leading financial institution in the renewable energy sector while aligning with India’s sustainable development goals.
