CCEA approves IREDA to be listed on Stock Exchange – EQ Mag
Guwahati: The Cabinet Committee on Economic Affairs (CCEA) has approved the listing of Indian Renewable Energy Development Agency (IREDA), a CPSE under the Ministry of New and Renewable Energy (MNRE) on the stock exchanges through an Initial Public Offering (IPO). . IPO) by selling part of the government’s stake in it and issuing fresh equity shares to raise funds for IREDA.
The Department of Investment and Public Asset Management (DIPAM) will carry out the listing process. stated in a notice by the CCEA.
This decision supersedes the CCEA’s earlier decision in June 2017 to allow IREDA to issue 13.90 crore new equity shares of ₹10 each to the public on book-building basis through IPO.
The immediate decision has been necessitated by the change in capital structure after the government infused capital of ₹1500 crore in March 2022.
The Initial Public Offer (IPO) will help in unlocking the value of the government’s investment on the one hand and provide an opportunity to the public to acquire a stake in the national asset and benefit from it, on the other hand, the notice further stated.
In addition, it will help IREDA to raise a part of its capital requirement to meet development plans without depending on exchequer and improve governance through greater market discipline and transparency arising out of listing requirements and disclosures.
Implementation and operation of renewable energy/energy efficiency projects by IREDA as per their business plan in line with the RE targets of Government of India will help in generating direct and indirect employment opportunities for both skilled and unskilled manpower.
Source: PTI
