Birlaa.com

The Reliance Energy (REL) board approved the proposal of Reliance Power, its subsidiary; going public. The IPO will help the Reliance Power to raise about Rs 120 billion, which believed to be the largest ever IPO in the Indian stock market.
Reliance Power, a company from Reliance Anil Ambani group stable, is expected to file its draft prospectus for the IPO next week. The IPO is aimed at part-financing its investment plan for setting up coal, gas and hydro power projects in the country.
The company which recently secured the 4,000 MW Sasan power project from the government, is believed to be working on power projects totalling 25,000 MW.
If things work out well, then the public issue will give Reliance Power an initial market capitalisation of about Rs 800 billion and place the company among top 20 most valued firms listed on the domestic bourses.
Shares of the Relaince Energy closed up Rs 88.25, or 7.9%, at Rs 1,205.50. The total volume of shares traded at the BSE was 3,538,681. (Friday).