Reliance Power / Anil Ambani's company has a game changer plan! Will the shares become multibaggers?

Reliance Power: Anil Ambani's company Reliance Power is once again in the headlines. Overcoming the difficult phase, the company has prepared for its next big step. On Wednesday, the company's board gave the green signal to the mega plan to raise Rs 6,000 crore. This decision was taken in the board meeting held after the market closed, information of which has been given to the stock exchange. The company is making a strategy to take its business to new heights with this fund. The question is whether this plan will open the way for Reliance Power shares to become a multibagger?

Mega fundraising plan of Rs 6,000 crore

Reliance Power has geared up for its next growth phase. The company has decided to raise Rs 6,000 crore through qualified institutional placement (QIP) and other methods. Apart from this, the board has also approved the issuance of secured or unsecured, redeemable, non-convertible debentures (NCDs) up to Rs 3,000 crore. These debentures will be issued in one or more installments through private placement or other methods. The company may soon share its business strategy, which will reveal the complete outline of the use of this fund. This fund will be used for business expansion and investment in new projects.

Stormy rise in shares, 130% return

Reliance Power shares have made investors rich in recent times. On Wednesday, the stock closed at Rs 66.09 with a gain of 2.40%. The company's market cap has reached Rs 27,330 crore. In the last 6 months, the stock has given a great return of 60%, while in the last one year it has become a multibagger with a jump of 130%. During this period, BSE Sensex and Nifty gave a return of 2.5% and 2.4% respectively, compared to which Reliance Power's performance has been much better. So far in the year 2025, this stock has given a return of 48%, which is a strong sign for investors.

Debt reduction, improvement in book value

Reliance Power has also managed to strengthen its financial health. The company's debt-to-equity ratio has come down to 0.93, which is much better than before. Along with this, the book value of the company has also reached Rs 40.7 per share, which is attractive for investors as compared to the current share price of Rs 66. The company has also received some new orders recently, which has further strengthened its growth prospects. Reliance Power is planning to raise funds by issuing equity shares or equity-linked instruments to qualified institutional buyers (QIBs).

Potential to become a multibagger

This mega fundraising plan of Reliance Power has increased the enthusiasm among investors. Market experts say that the company's better financial position, debt reduction and orders for new projects can further fuel the stock's rally. Although the stock saw a slight correction on Wednesday, this stock has the potential to become a multibagger in the long term. Investors should keep an eye on the company's business strategy and the progress of projects.