Latest news with #R-Infra
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Business Standard
10 hours ago
- Business
- Business Standard
MMRDA deposits Rs 560 cr in Metro arbitration case with Reliance Infra
The Mumbai Metropolitan Region Development Authority (MMRDA) has deposited Rs 560.21 crore with the registry of the Bombay High Court in an arbitration matter involving Mumbai Metro One Private Limited (MMOPL), a subsidiary of Anil Ambani-promoted Reliance Infrastructure (R-Infra). In June, the Bombay High Court had directed MMRDA to pay the arbitration award of Rs 1,169 crore to MMOPL and deposit the amount with the registry before 15 July 2025. However, MMRDA filed a special leave petition before the Supreme Court challenging the order. The apex court then directed MMRDA to deposit 50 per cent of the award amount. MMOPL had stated that the money would be used to reduce its debt. The matter dates back to August 2023, when MMOPL won an arbitration award of Rs 992 crore passed by a three-member arbitral tribunal in the arbitration between MMOPL and MMRDA for various disputes, including the cost of the project. The initial estimated cost of the project was Rs 2,356 crore, according to data from MMRDA's website. The cost later escalated to Rs 4,321 crore. MMRDA had challenged the award, initiating proceedings under Section 34 of the Arbitration and Conciliation Act, 1996, which the high court has now upheld in favour of MMOPL. MMOPL is a joint venture of R-Infra and MMRDA, with R-Infra holding a 74 per cent stake and the remainder with MMRDA. MMOPL operates Mumbai's first metro line between the Versova–Andheri–Ghatkopar corridor. The mass rapid transit system project was awarded by MMRDA through global competitive bidding on a public-private partnership (PPP) framework to a Reliance Infrastructure-led consortium in 2007. MMOPL, a special-purpose vehicle, was incorporated for the project's implementation. MMRDA is an apex body for planning and coordinating development in the Mumbai Metropolitan Region. This was the first metro project in India awarded on a PPP basis and involved the design, financing, construction, operation and maintenance of about 12 km of elevated metro with 12 stations en route. The project was financed by a consortium of banks led by Canara Bank. In November 2024, the consortium was looking to sell Rs 1,226 crore of loans through a bidding process. In the same month, state-owned National Asset Reconstruction Company Ltd (NARCL) gave an anchor bid of Rs 1,063 crore to acquire the stressed loans from the MMOPL consortium. Separately, State Bank of India (SBI) and IDBI Bank initiated insolvency proceedings against MMOPL amid non-payment of loans of Rs 416.08 crore and Rs 133 crore, respectively, in 2023. In April 2024, the Mumbai bench of the National Company Law Tribunal (NCLT) dismissed the banks' petitions after the concerned parties agreed to a one-time debt settlement.
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Business Standard
2 days ago
- Business
- Business Standard
ED actions concluded at all locations, say Reliance Infra, Reliance Power
Reliance Infrastructure (R-Infra) and its sister firm Reliance Power (R-Power) have stated that actions taken by the Enforcement Directorate (ED) have concluded at all locations, and both companies have fully cooperated and will continue to cooperate with the authority. Earlier, on Thursday, the ED had raided more than 35 premises and searched over 50 companies in New Delhi and Mumbai linked to the Reliance Anil Ambani Group (RAAGA). The investigation was related to the alleged illegal diversion of loans worth Rs 3,000 crore from Yes Bank between 2017 and 2019. 'Action by ED has no impact on the business operations, financial performance, shareholders, employees, or any other stakeholders of the company,' both R-Infra and R-Power clarified again on Sunday (27 July). The companies further clarified that the media reports appear to pertain to allegations concerning transactions of Reliance Communications Limited (RCOM) or Reliance Home Finance Limited (RHFL), which are over 10 years old. R-COM has been undergoing the Corporate Insolvency Resolution Process (CIRP) as per the Insolvency and Bankruptcy Code (IBC) 2016 for over six years. Earlier this month, R-Com disclosed to the exchanges that the State Bank of India (SBI) had decided to classify the company's loan account as 'fraud' due to irregularities in the conduct of the account, and that the bank would report both the account and Anil Ambani, a director at R-Com, to the Reserve Bank of India (RBI). On the other hand, R-HFL has been fully resolved pursuant to the judgement of the Supreme Court of India. 'Similar allegations as those set out in the media reports are sub judice and pending before the Hon'ble Securities Appellate Tribunal, as per publicly available information,' R-Infra and R-Power noted. Further, both companies claimed that Anil Ambani is not on the board of R-Infra and R-Power. Accordingly, any action taken against R-COM or R-HFL has no bearing or impact on the governance, management, or operations of R-Infra and R-Power, the companies added. 'The company continues to operate in the normal course, and the said action has no impact on its business operations. The company continues to focus on its business plans and remains committed to creating value for all stakeholders,' R-Infra and R-Power added.
Business Standard
4 days ago
- Business
- Business Standard
Reliance Infra reports Q1FY26 profit of Rs 59 crore, revenue drops 17%
Anil Ambani family-owned Reliance Infrastructure (R-Infra) posted a profit attributable to owners of the parent for the first quarter of fiscal year 2026 (Q1 FY26) of Rs 59.84 crore, compared to a loss of Rs 233.74 crore reported in the June quarter of FY25. The company's revenue from operations for the quarter stood at Rs 5,907.82 crore, down 17.86 per cent year-on-year (YoY). Its expenses for the quarter were Rs 6,469.81 crore, down by 4.84 per cent YoY. Sequentially, the company's revenue grew by 43.81 per cent, while its profit declined by 98.63 per cent. The company's consolidated earnings before interest, taxes, depreciation, and amortisation (EBITDA) stood at Rs 1,494 crore, up 29 per cent YoY. In Q1 FY26, R-Infra's subsidiary Mumbai Metro One achieved the highest-ever Q1 fare revenue of Rs 84 crore. Mumbai Metro One also secured station branding rights at Airport Road and Andheri stations with HDFC Ergo and AMFI, respectively. Earlier, the National Company Law Appellate Tribunal stayed an order passed by the National Company Law Tribunal, Mumbai, admitting R-Infra into the Corporate Insolvency Resolution Process following a plea filed by IDBI Trusteeship Services over an alleged default of Rs 88.68 crore (apart from interest). The company, however, claimed that it had made full payment of Rs 92.68 crore. R-Infra's total market capitalisation as of Friday was Rs 13,549.67 crore. Its shares, listed on the Bombay Stock Exchange (BSE), closed at Rs 342.05 per equity share.
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Business Standard
03-07-2025
- Business
- Business Standard
No impact on biz: RInfra, RPower after SBI's 'fraud' tag on RCom account
Reliance Infrastructure (R-Infra) and its subsidiary Reliance Power (R-Power) have said that the recent move by the State Bank of India (SBI) to classify the loan account of Reliance Communications (R-Com) as 'fraud' will not affect their business operations, financial performance, shareholders, employees, or any other stakeholders. R-Infra and R-Power are separate and independent listed entities with no business or financial linkage to R-Com, both companies said in separate stock exchange filings on Thursday. Further, Anil Ambani is not on the board of R-Infra and R-Power. On Wednesday, R-Com disclosed to the exchanges that the SBI has decided to classify the company's loan account as 'fraud' due to irregularities in the conduct of the account. The SBI is also set to report both the account and Ambani, a director at R-Com, to the Reserve Bank of India (RBI). 'We have taken cognisance of the responses (wherever received) to our show-cause notice (SCN), and after due examination of the same it is concluded that sufficient reasons have not been provided by the respondent, to explain the non-adherence to the agreed terms and conditions of the loan documents or the irregularities observed in the conduct of the account of Reliance Communications to the satisfaction of the bank,' SBI said in a letter to RCom on June 23, which the company received on June 30. The company has, however, clarified that the classification of 'fraud' by SBI is not expected to have any impact on it and that it is seeking legal advice on the same. Besides, R-Com is undergoing a corporate insolvency resolution process (CIRP) under the Insolvency and Bankruptcy Code, 2016. A resolution plan has been approved by the committee of creditors of the company and is presently awaiting approval of the National Company Law Tribunal, Mumbai Bench.
Business Standard
03-07-2025
- Business
- Business Standard
R-Infra, R-Power say no impact on biz after SBI's action against R-Com
Reliance Infrastructure (R-Infra) and its subsidiary Reliance Power (R-Power) have stated that the recent action by the State Bank of India (SBI) to classify the loan account of Reliance Communications (R-Com) as fraud has absolutely no impact on their business operations, financial performance, shareholders, employees, or any other stakeholders. R-Infra and R-Power are separate and independent listed entities with no business or financial linkage to R-Com, both companies said in separate stock exchange filings on Thursday. Further, Ambani is not on the board of R-Infra or R-Power. Accordingly, any action taken concerning R-Com has no bearing or impact on the governance, management, or operations of R-Infra and R-Power, the two companies claimed. Earlier, on Wednesday, R-Com disclosed to the exchanges that SBI had decided to classify the company's loan account as 'fraud' due to irregularities in the conduct of the account. SBI is also set to report both the account and Ambani, a director at R-Com, to the Reserve Bank of India (RBI). 'We have taken cognisance of the responses (wherever received) to our show-cause notice (SCN), and after due examination of the same, it is concluded that sufficient reasons have not been provided by the respondent to explain the non-adherence to the agreed terms and conditions of the loan documents or the irregularities observed in the conduct of the account of Reliance Communications to the satisfaction of the bank,' SBI said in a letter to R-Com on June 23, which the company received on June 30. The company has, however, clarified that the classification of 'fraud' by SBI is not expected to have any impact on it and that it is seeking legal advice on the same. Besides, R-Com is undergoing a corporate insolvency resolution process (CIRP) under the Insolvency and Bankruptcy Code, 2016. A resolution plan has been approved by the committee of creditors of the company and is presently awaiting approval from the National Company Law Tribunal, Mumbai Bench. A meeting of the committee of the company's creditors has been scheduled for Friday.
