IREDA gets RBI okay to set up subsidiary in Gujarat's Gift City

Indian Renewable Energy Development Agency has got RBI approval to set up a wholly owned subsidiary in the International Financial Services Centre (IFSC) situated in GIFT City in Gujarat.

"This is to inform that Company has received No Objection letter dated February 08, 2024 from the Reserve Bank of India (RBI) for setting up of a wholly owned subsidiary in International Financial Services Centre (IFSC), situated in Gift City, Gujarat" the company said in an exchange filing.

IREDA's presence in GIFT City will mark a significant milestone in its mission to spearhead innovative solutions for green financing, said the company in a press release.

Further, the subsidiary will not only be paving the way for IREDA to leave its global footprints but also serve as an offshore platform for securing competitive funding to push the growth of the renewable energy sector, the company added.

"IREDA's entry into the IFSC is expected to open up new business opportunities and establish IREDA's global presence for the renewable energy sector," said Pradip Kumar Das, Chairman & Managing Director (CMD) of IREDA.

"This strategic move aligns with our vision of facilitating sustainable development through renewable energy investments, both domestically and internationally," Das said.

"With IREDA's presence in the IFSC, we can anticipate increased access to innovative financing options and enhanced collaboration with international investors, contributing to the growth of renewable energy projects in India and beyond," Das said.

On the stock-specific front, shares of the company extended their fall for the third straight session. Today, it tanked 5 per cent to hit a lower price band of Rs 179.55. IREDA has lost 14.24 per cent in three days. Despite the fall, the multibagger scrip has rallied 490.63 per cent from its initial public offering (IPO) price of Rs 32. IREDA made a stellar stock market debut on November 29 last year.