IREDA Raises ₹1,500 Crore Through Bond Issuance – A Boost for Green Energy Financing in India

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Indian Renewable Energy Development Agency Ltd (IREDA) successfully raised ₹1,500 crore through the issuance of bonds, marking a significant milestone in green energy financing in India. The bond issuance, comprising a base issue of ₹500 crore and a Green shoe option of ₹1,000 crore, received overwhelming interest from investors and was oversubscribed 2.65 times. This successful fundraising initiative highlights the growing trust and confidence that investors have in IREDA’s vision and its pivotal role in driving renewable energy growth in the country.

IREDA’s Chairman and Managing Director, Pradip Kumar Das, expressed satisfaction with the response to the bond issuance, emphasizing the importance of this capital infusion in furthering the agency’s efforts in financing green energy projects. This development is crucial in supporting India’s ambitious target of achieving 500 GW of non-fossil fuel installed capacity by 2030.

Looking ahead, IREDA is planning a follow-on public offer (FPO) in the current financial year to meet its capital requirements and provide financing for green energy projects. The agency is targeting the second half of the fiscal year 2025-26 for the FPO. With a net worth of approximately ₹8,559.43 crore and a loan book of around ₹59,698 crore, IREDA has been actively involved in disbursing funds for green energy projects. In the fiscal year 2023-24 alone, the company disbursed around ₹25,089 crore, showcasing its commitment to driving sustainable energy initiatives in the country.

The successful bond issuance by IREDA underscores the growing importance of financing mechanisms in achieving India’s renewable energy goals. As the demand for green energy projects continues to rise, initiatives like these play a crucial role in accelerating the transition towards a more sustainable energy landscape in the country.