Shares of Indian Renewable Energy Development Agency Ltd (IREDA) gained 3% in early deals on Friday after the firm inked a facility agreement for raising External Commercial Borrowing (ECB) from SBI, Tokyo Branch for JPY 26 billion (Rs 1476 crore), including a Green Shoe Option of JPY 10 billion.
IREDA stock was trading 3% higher at Rs 166.75 on BSE. Market cap of the renewable energy stock stood at Rs 44,401 crore. IREDA stock is trading neither in the oversold nor in the overbought zone, indicates its RSI of 58.4.
A RSI value below 30 signals the stock is trading in the oversold zone and above 70 signals is trading in the overbought zone.
According to Trendlyne data, IREDA has a one-year beta of 1.5, indicating high volatility.
IREDA stock touched an all-time high of Rs 310 on July 15, 2024 and a 52-week low of Rs 135.05 on March 27, 2024.
The stock has risen 17.55% in two weeks and gained 19% in a year.
This five-year unsecured facility, with bullet payment at maturity, is set to strengthen IREDA’s global market presence. The landed cost (after hedging) is expected to be below 7%, making it more cost-effective than similar-tenure loans in the domestic market.
Commenting on the agreement, Shri Pradip Kumar Das, Chairman & Managing Director, IREDA, stated, “This facility enables us to diversify our resource base and optimize costs, enhancing our lending operations to support India’s renewable energy sector. The transaction reflects the strong confidence of global investors in IREDA’s financial stability and growth potential.”IREDA continues to enjoy international credit rating of ‘BBB-' long-term and 'A-3' short-term with Outlook ‘Stable’ from S&P Global, underscoring its highest standards of corporate governance and credibility in international markets.
IREDA is a Mini Ratna (Category - I) government enterprise. It is administratively controlled by the Ministry of New and Renewable Energy (MNRE). IREDA has been actively promoting, developing, and extending financial assistance for new and renewable energy projects, as well as energy efficiency and conservation projects for over 36 years.