Torrent Power raises Rs 3,500 crore in QIP, sees 4x oversubscription

The QIP had opened on December 2 and was concluded on December 5.

Torrent Power Limited announced on December 9 that it has successfully completed its Qualified Institutions Placement (QIP) of Rs 3,500 crore, attracting strong demand of four times the issue size from a mix of domestic and international investors.

This marks Torrent Power's first equity raise and the first from the Torrent Group in three decades. The QIP is one of the largest fundraisers by a private utility player in India this financial year.

The entire issue was placed with prominent long-only investors, including SBI Mutual Fund, Capital Group, SBI Pension, Kotak Mutual Fund, Nippon Mutual Fund, Norges Bank, and Amundi.

The QIP, which opened on December 2 and concluded on December 5, was managed by Kotak Mahindra Capital Company, Jefferies India, and JM Financial as lead managers. Khaitan & Co. served as the company’s legal counsel for Indian law, while Shardul Amarchand Mangaldas & Co and Sidley Austin LLP advised the BRLMs on Indian and international law, respectively.

Samir Mehta, Chairman of Torrent Group, commented, “We are delighted with the overwhelming response to our QIP. The strong demand reflects market confidence in Torrent’s growth strategy, operational excellence, and capital allocation. This raise will fortify our balance sheet and accelerate our growth plans, and we thank our investors for their trust in us.”

For Q2 FY25, Torrent Power reported an 8.6 percent year-on-year decline in net profit to Rs 496 crore, while revenue from operations rose by 3.1 percent to Rs 7,175.81 crore, compared to Rs 6,960.92 crore in the same period last year.

At the close of trading on December 9, Torrent Power's shares were down 0.16% at Rs 1,645.95 each.