Reliance Power IPO awaiting Sebi nod: ADAG

Reliance ADA Group today said it is awaiting Securities and Exchange Board of India (Sebi) nod for the initial public offering (IPO) of group company Reliance Power even as some "vested interests" were trying to stall the stake sale plan.

"A vicious campaign of disinformation (is) underway by vested industrial interests to stall the Reliance Power IPO," a Reliance ADAG spokesperson said in a statement.

The official said attempts were being made to engineer motivated litigation and the "campaign was motivated by frustration at the continuing success and rising valuation of the ADA Group".

Reliance Power's IPO was awaiting Sebi approval in normal course, he added.

The spokesperson said forged letters by Members of Parliament based on false and baseless allegations were also part of the vicious campaign.

The reaction came after REL Investors Forum, an association of investors in Anil Ambani-led Reliance Energy, today alleged that the planned IPO of Reliance Power will erode the value for REL shareholders.

Reliance Power plans to come out with an IPO of 160 crore shares to part-finance 12 proposed power projects envisaging an estimated investment of nearly Rs 1,00,000 crore. The IPO is being pegged as the biggest-ever in India with total proceeds of about Rs 12,000 crore.