Shares Control

Posted @ 1:31 PM on January 8, 2008 by Amit Bhawani

Here is a more detailed report on Reliance power IPO which is coming up this fortnight with a amount of 11,700 crore rupees to be raised through a RPower initial public offering[IPO]. The shares are going to have a decent amount of premium price at 405-450Rs with the face value of each share being 10Rs. You can read more about Reliance Power Payment. The company is taking at first only a 25% of the complete pricing which stands at 115Rs per shares , which includes a 112.50Rs premium price and 2.5Rs/share as application fees and the balance funds would be taken in the later stage.

Reliance power also known as RPower was originally set up as Bawana Power Private Limited, a part of Anil dhirubhai ambani Group. The whole company is working on developing 13 total power based projects all over india and the total capacity of all these power grids to stand at 28,200 Mw.

The projects include seven coal-fired projects (14,620 MW) to be fuelled by reserves from captive mines and supplies from India and abroad, two gas-fired projects (10,280 MW) to be fueled primarily by reserves from the Krishna Godavari Basin (the “KG Basin”) off the east coast of India, and four hydroelectric projects (3,300 MW), three of them in Arunachal Pradesh and one in Uttarakhand.

The main plans of the company stays to sell power at lowest pricing with a long-term and short-term PPC’s to state owned companies. The company has subsidiaries viz SPL, CAPL, MPPGL, RPSCL, MEGL, VIPL, USHPPL, THPPL, SHPPL and KPPL. Rpower company has already bid to over 24000Mw of projects and has secured a dadri project which has a capacity of 7,480 Mw and can start this project by the year 2009.

The company does not have many risk factors because its not just intending to run the projects based on coal , but also adds up gas & hydro units for power generation. The strategies include lowest cost of power generation, with timely based completion of projects.

Reliance Power IPO Statistics :
Issue Open On: 15th January 2008
Issue Close On: 18th January 2008
Price Band: Rs 405-450 Per Share
Face Value: Rs 10 Per Share
Bid Lot: 15 Equity Shares
Issue Size: 260,000,000 Shares
Retail Size: 68,400,000 Shares
Pre Issue Eq Capital: Rs 20,000 Million
Post Issue Eq Capital: Rs 22,600 Million

Reliance Power IPO Shareholding Pattern (%)
Pre Issue Post Issue
Promoter & Group 100.00 90.00
Public —- 10.00

Reliance Power IPO Other Specifics :
Lead Manager: Kotak Mahindra Capital Company Ltd, Enam Securities Pvt Ltd
Registrar: Karvy Computershare Pvt Ltd