IREDA chairman expects to open IFSC unit in 2-3 months, to raise Rs 24,000 crore debt capital this fiscal

MUMBAI: The Indian Renewable Energy Development Agency (IREDA) will be opening its IFSC unit shortly that will help the green-energy-focused public sector financier mop up funds at much cheaper rates and thus lower its loan prices, a top official has said.

The IREDA had a runaway success in the capital market when it got listed last November and the shares have rallied more than sevenfold.

“We hope to get permission to open a unit in Gift City at the International Financial Services Centre (IFSC) in Gandhinagar in the next two to three months. Once the permission is in we aim to complete the process very shortly,” Pradip Kumar Das, chairman and managing director, told TNIE.

“Once we open the unit, we will tap all sorts of bonds, primarily green and social bonds from there. Given our latest S&P ratings, we are confident we can raise funds at a much lower rate now,”

Das also said, the discussions with the government on stake dilution are at an advanced stage, wherein it wants the government to pare up to 10 per cent. This will give at least Rs 4,500 crore of equity capital to the company, he added. Last month the board approved an equity raising plan worth Rs 4,500 crore.

“The process is in advanced stages, so maybe within a couple of weeks we will get the final news on that,” Das said.