R-Power gets shareholders nod for bonus issue

Reliance Power, a part of the Reliance ADAG group company, today said
it has received shareholders approval for issue of bonus shares to its
shareholders, barring Anil D Ambani and other promoters.

"Shareholders through postal ballot have approved the proposals
entailing that no allotment of bonus shares will be made to Anil
Ambani and other promoters who waived their entitlement to such
shares," Reliance Power said in a statement.

Further the shareholders have accorded their approval for issue of
bonus shares in 3:5 ratio, wherein three new equity shares would be
alloted for every five existing equity shares held, the company
added.


The company had recommended the issue of 13.68 crore bonus shares in
the ratio of three new equity shares of Rs 10 each for every five
existing equity shares of Rs 10 held by the shareholders of the
company in the public category (excluding the promoters).      The
promoters of Reliance Power are -- AAA Project Ventures Pvt Ltd, an
entity fully owned and controlled by Anil Ambani and promoter of
Reliance Energy Ltd (REL) and REL.

Anil Ambani has gifted 6.15 crore shares of Reliance Power to
Reliance Energy to ensure no dilution in holdings of Reliance Energy
in Reliance Power, the statement added.

"I will protect dilution of REL shareholders from 45 per cent to 42.5
per cent at the proposed bonus shares. I will be diluting my personal
shares free of cost to REL shareholders, whereby REL shareholding in
Reliance Power remains intact at 45 per cent," Ambani had said on
February 25.

Shares of Reliance Power reacted positively to this announcement and
surged 2.66 per cent over its previous close in morning trade and
witnessed an intra-day high of Rs 383.70. The scrip was quoted at Rs
378.50, up 1.19 per cent on the BSE.