Reliance Power: No deviation in preferential issue utilization confirmed

Reliance Power Limited's monitoring agency report for the quarter ended September 30, 2025, confirmed no deviations in the utilization of proceeds from its preferential issue. The report, prepared by Infomerics Valuation and Rating Limited, stated that the utilization was as per the disclosure in the offer document. The company's audit committee and board of directors reviewed the report and noted that funds were utilized for the purposes stated in the offer document, with no material deviations from disclosed expenditures.

The preferential issue involved 4,620,000,000 convertible warrants, aggregating to INR 1,524.60 crore. As of September 30, 2025, the actual proceeds received totaled INR 694.65 crore. During the quarter ended September 30, 2025, no amount was utilized from the issue proceeds, leaving an unutilized balance of INR 26.49 crore. These unutilized funds are held in fixed deposits and current accounts with scheduled commercial banks, in line with regulatory requirements.

The issue proceeds are allocated across three main objects: expansion of business operations (original cost INR 803.60 crore), general corporate expenses (original cost INR 381.00 crore), and debt reduction by conversion/appropriation of existing debt (original cost INR 340.00 crore). All government and statutory approvals related to the objects have been obtained. The monitoring agency observed no major deviations from earlier reports and confirmed no changes in the means of finance for disclosed objects.