Reliance Power and Reliance Infrastructure, chaired by Anil Dhirubhai Ambani witnessed a sharp rally after the Enforcement Directorate (ED) concluded its investigation. Shares of both the companies surged by 4% today to end at 56.35 +2.41 (4.47%) for Reliance Power. Meanwhile, Reliance Infra ended at 341.45 +15.05 (4.61%). On Friday shares of both the companies dropped 10% over two sessions, hitting their lower circuits of 5%.
The ED on Thursday carried out searches at 40 to 50 premises connected to Ambani as part of its investigation into suspected money laundering related to loans sanctioned by Yes Bank between 2017 and 2019. After the raids concluded on Sunday, the Reliance Group unveiled a renewed strategic roadmap focused on high-growth sectors including defence, power and renewable energy. Over 100 top executives from the group’s two listed companies — Reliance Infrastructure and Reliance Power — convened in Mumbai to reaffirm their commitment to the company’s ambitious transformation plans. The leadership meeting showcased the group’s clear pivot towards sectors aligned with ‘Make in India’ and ‘Atmanirbhar Bharat’. “The meeting reflected unity of purpose, renewed vigour and a shared resolve to deliver long-term value for stakeholders,” the group said in a statement. This came just a week after both boards approved plans to raise Rs 18,000 crore through a mix of equity and debt to fund the growth initiatives.
Reliance Infrastructure will spearhead the group’s defence and aerospace ambitions. The firm plans to manufacture Falcon 2000 business jets in India in collaboration with Dassault Aviation of France, develop a maintenance, repair, and overhaul (MRO) hub in Maharashtra in partnership with US-based Coastal Mechanics, and strengthen ties with German defence giants Rheinmetall AG and Diehl Defence for guided munitions.The group aims to position itself among the top three defence exporters in India. In the power sector, Reliance Group’s BSES utility, which services over 53 lakh households across Delhi, will continue its focus on delivering smart and sustainable energy solutions. The company aims to source clean, green energy for the national capital over the next five years, it said in the statement.
Following the ED raids, the group had said that the ED’s actions had no bearing on its operations or performance. “Action by ED has no impact on business operations, financial performance, shareholders, employees or any other stakeholders of the company,” said separate statements issued by Reliance Infrastructure and Reliance Power. The group highlighted its nearly debt-free status, stating they "have net worths of Rs 14,883 crore and Rs 16,431 crore, respectively.