Reliance Power’S Stock Hits 5 Pc Lower Circuit After SECI Ban


(MENAFN- IANS) Mumbai, Nov 8 (IANS) Shares of Anil Ambani-led Reliance Power on Friday hit the lower circuit of 5 per cent at Rs 41.58 after the Solar energy Corporation of India (SECI) debarred the company from floating any tender for the next three years for allegedly submitting fake documents.

According to the SECI, "Reliance Power and its subsidiary Reliance NU BESS were banned after it became the lowest bidder for a project based on fake documents".

A statement issued by SECI said that as per the requirements of the tender, the bank guarantee against the EMD (issued by a foreign bank) submitted by the bidding company was "fake".

This discrepancy was found after the e-reverse auction. Due to this, the SECI had to cancel the tender process. As per the terms of the tender, the bidding company has been banned for submitting fake documents.

Reliance Power's stock opened on a lower circuit on Friday. In the last one month, it has slipped by more than 9.57 per cent.

In the last six months, the stock has given a return of more than 61.48 per cent and in one year, the stock surged more than 103 per cent. In the last five years, the stock railed more than 760 per cent. In the first quarter of the financial year (FY) 2024-25, Reliance Power recorded a loss of Rs 97.85 crore on a consolidated basis. During this period, the company's income was Rs 2,069.18 crore. In the first quarter of the FY 2023-24, the company's income was Rs 1,951 crore. During this period, the company had a loss of Rs 296.31 crore. About a month ago, Reliance Power had approved a plan to raise Rs 4,198 crore through foreign currency convertible bonds (FCCBs) to be issued to affiliates of Varde Investment Partners.

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IANS

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