Rural Electrification Corporation (REC) has received its shareholder’s nod to raise Rs 50,000 crore by issuing non-convertible debentures (NCDs). The company’s shareholders gave approval for the same in the annual general meeting held on September 21, 2016.
Besides, shareholders also approved the special resolution for increasing the authorised share capital to Rs 5,000 crore from existing Rs 1,200 crore. The proposal for a bonus issue in the ratio of 1:1 to the shareholders was also approved in the AGM.
REC is engaged in providing financial assistance to state electricity boards, state government departments and rural electric co-operatives for rural electrification projects as are sponsored by them.
