Reliance Power shareholders have approved a resolution to increase its borrowing limit to up to five times its paid up capital and free reserves. Currently, the R-Power board was authorised to raise funds only up to three times the paid up capital and free reserves. The special resolution to enable board of director to borrow funds (apart from temporary loans) up to five time of the paid up capital and free reserves was passed by the requite majority by shareholders in the annual general meeting of the company held yesterday, Reliance Power said in a BSE filing today.
In September, 2014 the shareholders of the company had authorised the board to borrow funds up to three times of paid capital and free reserves of the company. In a separate resolution, the shareholders also authorised the board to raised money through issuance of non- convertible debentures in one or more tranches/series on private placement basis.