REC board approves raising ₹1.55 lakh crore via bonds
The company said the funds will be raised in one or more tranches over a period of one year from the date of the shareholders' resolution, with the approval of the competent authority.
In addition to approving the fundraising plan, the board also approved a proposal to strike off an SPV, namely Rajgarh II Power Transmission Limited, a wholly owned subsidiary of REC Power Development and Consultancy Limited (RECPDCL), which is itself a wholly owned subsidiary of REC, subject to requisite clearances, concurrences, or approvals from statutory/administrative authorities, wherever required.
REC Power Development and Consultancy Limited (RECPDCL), a wholly owned subsidiary of REC, had set up a special purpose vehicle (SPV) named Rajgarh III Power Transmission Limited to implement the 'Transmission System for Evacuation of Power from RE Projects in Rajgarh (1500 MW) SEZ in Madhya Pradesh – Phase III,' as recommended by the National Committee on Transmission (NCT).
The SPV was formed under the Tariff Based Competitive Bidding (TBCB) guidelines to carry out the bidding process.
However, the company said that NCT later recommended clubbing the Rajgarh Phase III project with another transmission project. Following this, the Ministry of Power de-notified the Rajgarh Phase III project via a notification dated March 18, 2025. As a result, since the SPV no longer has any operational purpose, RECPDCL has proposed to strike off Rajgarh III Power Transmission Limited.
The company's shares have continued to remain under pressure for the past 10 months, losing 38% of their value, falling from ₹ 644 apiece to the current level of ₹ 400. Between March 2023 and July 2024, however, the stock witnessed a one-way rally without any pullback, delivering a massive return of 465% to shareholders.
For the quarter ended March, the company reported a 5.6% year-on-year (YoY) increase in its consolidated net profit at ₹ 4,309 crore, while net interest income (NII) rose 38% YoY to ₹ 5,877 crore, compared to ₹ 4,273 crore in the corresponding quarter of the previous fiscal.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
8 hours ago
- Mint
Eicher Motors declares ‘Record Date' for ₹70/share dividend issue. Details here
Eicher Motors' board of directors announced that the automaker has fixed its 'Record Date' for its fourth quarter dividend issue on Friday, 1 August 2025, according to an exchange filing on Monday, 7 July 2025. This will mark the final dividend payment of the 2024-25 fiscal year and will be subject to the approval of shareholders at the company's upcoming annual general meeting (AGM). The company will hold its AGM on Thursday, 21 August 2025. 'The company has fixed Friday, 1 August 2025 as the Record Date for determining the eligibility of the shareholders for payment of dividend for the financial year 2024-25, subject to approval of dividend by the members at the aforesaid Annual General Meeting (AGM),' the company informed BSE in an exchange filing. According to Mint's earlier report, Eicher Motors declared a ₹ 70 per share dividend with a face value of Re 1 apiece, along with its January to March quarter results in May 2025. This means that every eligible shareholder will receive a dividend payment of ₹ 70 for every share they own in the publicly listed company. The investors who are buying into the stock now will likely become eligible for the dividend issue up to the day before the scheduled 'Record Date' specified by the firm. 'The Board of Directors recommended a final dividend of Rs. 70/- per equity share of face value of Re. 1 each for the financial year ended March 31, 2025, subject to the approval of the shareholders at the ensuing 43rd Annual General Meeting. The dividend shall be paid/dispatched within 30 days from the date of shareholders' approval,' the company said in its Q4 results announcement on 14 May 2025. Eicher Motors shares closed 0.81% higher at ₹ 5,672.25 after Monday's stock market session, compared to ₹ 5,626.80 at the previous stock market close. The company announced the record date update after market operating hours on 7 July 2025. Shares of the Indian automaker have given stock market investors more than 192% returns on their investment in the last five market sessions and 19.64% gains in the last one-year period. On a year-to-date (YTD) basis, the shares have gained 16.43% in 2025 and are trading 5.51% higher in the last one-month period on the Indian stock market. Eicher Motor shares hit their 52-week high level at ₹ 5,907.85 on 22 April 2025, while the 52-week low level was at ₹ 4,500 on 8 October 2024, according to the BSE data. The company's market capitalisation (M-Cap) was over ₹ 1.55 lakh crore as of the stock market close on Monday 7 July 2025. Read all stories by Anubhav Mukherjee
Mint
10 hours ago
- Mint
Eicher Motors declares ‘Record Date' for ₹70/share dividend issue. Details here
Eicher Motors' board of directors announced that the automaker has fixed its 'Record Date' for its fourth quarter dividend issue on Friday, 1 August 2025, according to an exchange filing on Monday, 7 July 2025. This will mark the final dividend payment of the 2024-25 fiscal year and will be subject to the approval of shareholders at the company's upcoming annual general meeting. 'The company has fixed Friday, 1 August 2025 as the Record Date for determining the eligibility of the shareholders for payment of dividend for the financial year 2024-25, subject to approval of dividend by the members at the aforesaid Annual General Meeting (AGM),' the company informed BSE in an exchange filing. According to Mint's earlier report, Eicher Motors declared a ₹ 70 per share dividend with a face value of Re 1 apiece, along with its January to March quarter results in May 2025. This means that every eligible shareholder will receive a dividend payment of ₹ 70 for every share they own in the publicly listed company. The investors who are buying into the stock now will likely become eligible for the dividend issue up to the day before the scheduled 'Record Date' specified by the firm. 'The Board of Directors recommended a final dividend of Rs. 70/- per equity share of face value of Re. 1 each for the financial year ended March 31, 2025, subject to the approval of the shareholders at the ensuing 43rd Annual General Meeting. The dividend shall be paid/dispatched within 30 days from the date of shareholders' approval,' the company said in its Q4 results announcement on 14 May 2025. (This is a developing story. Please check back for updates.) Read all stories by Anubhav Mukherjee Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions, as market conditions can change rapidly, and circumstances may vary.
Mint
11 hours ago
- Mint
Future very strong and bright' as Indias consumption boosts travel: Tata Sons Chairman
New Delhi, Jul 7 (PTI) Tata Sons Chairman N Chandrasekaran on Monday exuded confidence that the future looks "very strong and bright" as growing consumption in India will drive the growth of the travel sector, sharing his outlook at the Tata Group-owned Indian Hotels Company Limited's (IHCL) AGM. Addressing shareholders of IHCL, the country's biggest hospitality player, Chandrasekaran shared that the "intent is to achieve a total global footprint of 700 hotels by 2030 and double the revenues to cross ₹ 15,000 crore". The Tata Sons Chairman began his address at the Annual General Meeting (AGM) by paying tributes to those who lost their lives at the Air India plane crash recently, and also expressed a "deep sense of loss" at the passing away of Ratan Tata last October. "To lose a single person we know is a tragedy, but for so many deaths to occur at once is incomprehensible. Our thoughts are with them. I also would like to express a deep sense of loss on the passing away of Ratan Tata in October 2024. "He was a truly uncommon leader, a distinguished business leader and philanthropist, and his remarkable vision and achievements shaped the Tata Group for multiple decades. He was a dear friend and the person whom I turned to for any guidance. In other words, we miss him very dearly," Chandrasekaran said. The Tata Sons Chairman asserted that India has shown remarkable resilience in the backdrop of the significant shifts witnessed post the Covid pandemic, which resulted in supply chain shocks and an economic slowdown, especially in the developed markets. The services sector in India has been growing at around a little over 8 per cent, the foreign nationals travel to India is also growing year on year, and is slowly here in the 10 million mark, Chandrasekaran added. "Future looks very strong and bright as the consumption in India keeps growing and the travels will continue to increase," he asserted. Elaborating on the financial performance of IHCL during 2024-25, Chandrasekaran said in the last fiscal year, the company signed 74 new hotels and had 26 new openings. The total portfolio has expanded to 380 hotels. "In terms of financial performance, our total standalone revenue was at ₹ 5,145 crore, with a profit after tax of ₹ 1,430 crore. On a consolidated basis, our revenues were about ₹ 8,565 crore, and our profit after tax was ₹ 1,908 crore. "Our consolidated EBITDA margin touched 38 per cent. IHCL also reported a free cash flow of ₹ 1,100 crore in 2024-25 and now has a very strong cash reserve of over ₹ 3,000 crore," the Tata Sons Chairman said.
