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Reliance Power Shares Surge as Rosa Power Achieves Zero Debt – Know More!

Reliance Power shares gained focus as Rosa Power cleared its debt, including Rs 833 crore to Varde Partners, boosting investor confidence. It operates a 1,200 MW plant in Uttar Pradesh.
Reliance Power Shares Surge as Rosa Power Achieves Zero Debt – Know More!

Reliance Power shares drew attention as Rosa Power achieved zero debt status after prepaying loans, including an earlier Rs 833 crore to Varde Partners. Rosa Power operates a 1,200 MW coal-based thermal plant in Rosa village, Shahjahanpur, Uttar Pradesh, bolstering investor confidence in the listed company.

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The Anil Ambani-led entity highlighted that its net worth is expected to increase from Rs 11,155 crore to over Rs 12,680 crore following a recent preferential issue. The listed company now reports having zero bank debt, showing a strengthened financial position.

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In addition, Reliance Power announced that Vidarbha Industries Power Limited (VIPL) is no longer a subsidiary. The company successfully settled all guarantor obligations related to VIPL, resulting in the discharge of corporate guarantees for outstanding debts worth Rs 3,872.04 crore.

This strategic move has released Reliance Power from previous commitments and obligations connected to VIPL’s debt, further improving its financial outlook. The resolution demonstrates the company’s commitment to reinforcing its balance sheet and reducing financial liabilities.

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For the June quarter, Reliance Power reported a consolidated loss of Rs 97.85 crore. This marked an improvement from the previous year’s loss of Rs 296.31 crore for the same period, showing progress despite ongoing challenges.

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Reliance Power’s income improvements have contributed to narrowing its quarterly loss. These developments and debt reduction initiatives are viewed as positive steps for the company, aiming to build investor confidence and potentially influence the Reliance Power share price in the market.

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