IREDA raises Rs 453 crore via perpetual bonds; issue oversubscribed 2.69 times

Indian Renewable Energy Development Agency Ltd (IREDA) on Thursday said it has raised Rs 453 crore at 7.70 per cent per annum through its second issue of perpetual bonds, aimed at strengthening its capital base for financing renewable energy projects.

The issue attracted bids worth Rs 1,343 crore against the base size of Rs 100 crore and a green shoe option of Rs 400 crore, resulting in 2.69 times oversubscription.

"These bonds will strengthen our Tier-I Capital and help scale up renewable energy financing. I thank all the investors for their overwhelming response and continued trust in IREDA," said Pradip Kumar Das, Chairman and Managing Director of IREDA.

Perpetual bonds carry no maturity or redemption date and are callable only at the company’s option. The securities offer a 7.70 per cent annual coupon with a one-time step-up of 50 basis points if not called after 10 years.

Last month, IREDA signed a performance-based Memorandum of Understanding (MoU) with the Ministry of New and Renewable Energy (MNRE), setting a revenue from operations target of Rs 8,200 crore for FY26. The company reported revenue from operations of Rs 6,743.32 crore in FY25, surpassing its target of Rs 5,957 crore.

IREDA, a 'Navratna' PSU under the administrative control of MNRE, provides financial products and services for renewable energy projects and related activities. As of June 2025, the government held a 71.76 per cent stake in the company.

Meanwhile, shares of IREDA today declined 0.68 per cent to close at Rs 146.60.