Anil Ambani's Reliance Infrastructure to raise $350 million to repay debt

Anil Ambani's Reliance Infrastructure is planning to raise $350 million via foreign currency convertible bonds to repay its rupee debt and start new businesses such as electric power generation, reported The Economic Times. The report further noted Care Rating report dated February 26, 2024 and said that the company has debt facilities in form of term loans on non-convertible debentures of Rs 2253 crore and Rs 703 crore respectively.

Reliance Infra to repay debts

As per the Care Rating report, the firm has term loans from Rs 1505 crore from Yes Bank- which the bank sold to J C Flowers Asset Reconstruction Company, IDBI Bank, Jammu & Kashmir Bank and Axis Bank has exposure of Rs 600 crore, Rs 82 crore and Rs 66 crore respectively.

Reliance Infrastructure has signed a standstill agreement with J C Flowers ARC in early January. As per the agreement the ARC has agreed not to take legal action until at least March 20 to recover its dues. An exchange filing shows that this deadline was extended to March 31 and later to May 30.

In the stock exchange filing, Reliance Infrastructure has said that it has paid Rs 1,347 crore to JCF ARC - of which Rs. 817 crore was paid till March 31 and balance of Rs 530 crore as on end April 2024.

Meanwhile, The Economic Times quoted a lender and said that the FCCB proceeds will likely repay the remaining debt of JCF ARC and other banks and bondholders.

Reliance Infrastructure expansion

Reliance Infrastructure in a stock exchange filing disclosed that it has also approved plans to float four companies including Reliance Jai Pvt Ltd (RJPL), Reliance Unlimit Pvt Ltd (RUPL), Reliance EV Pvt Ltd (REVPL), and Reliance Risee Pvt Ltd (RRPL). These companies will engage in electric power generation, information technology (IT) consultancy, infrastructure, and the manufacture of vehicles for fuel transport.

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