IREDA Raises ₹453 Crore Through Oversubscribed Perpetual Bonds Issue

The Indian Renewable Energy Development Agency Limited (IREDA) has successfully mobilized ₹453 crore at 7.70% per annum through its second issue of Perpetual Bonds, further strengthening its capital base for financing green energy projects.

The issue received an overwhelming response from investors, attracting bids worth ₹1,343 crore against a base size of ₹100 crore and a Green Shoe option of ₹400 crore. The oversubscription by 2.69 times highlights strong market confidence in IREDA’s position as a leading financier in India’s renewable energy sector.

Commenting on the development, Pradip Kumar Das, Chairman and Managing Director of IREDA, said: “These bonds will strengthen our Tier-I Capital and help scale up renewable energy financing, accelerating India’s transition to a greener and more sustainable future. I sincerely thank all the investors for their overwhelming response and continued trust in IREDA.”

The Perpetual Bonds carry distinct features, including no fixed maturity or redemption and are callable only at the company’s discretion. They offer a 7.70% annual coupon, with a 50-basis point step-up if not called after 10 years. Ranking senior only to share capital, these hybrid securities combine equity-like characteristics with the stability of long-term funding.

Industry observers note that the successful bond issue underscores both investor confidence in IREDA and the growing appetite for financing instruments dedicated to clean energy expansion.