Reliance Power signed a ₹2,000 crore solar project deal with Bhutan’s DHI to develop a 500 MW plant, marking the largest private FDI in Bhutan’s solar sector, alongside reporting strong Q4FY25 results and achieving zero bank debt.
On May 19, 2025, at 2:20 PM, shares of Reliance Power were trading at ₹45.58, up 1.13%. The positive movement in the stock was driven by the company’s recent signing of a term sheet with Green Digital Private Limited (GDL), Bhutan, for a solar power project with a proposed capital outlay of up to ₹2,000 crore.
Reliance Power Limited, one of India’s leading power generation companies, has signed a commercial term sheet for a long-term Power Purchase Agreement (PPA) with Green Digital Private Limited (GDL), a company owned by Druk Holding and Investments Limited (DHI), the investment arm of the Royal Government of Bhutan.
As part of the agreement, Reliance Power and DHI will jointly develop Bhutan’s largest solar power project through a 50:50 venture. The project will have an installed capacity of 500 MW and involve a capital outlay of up to ₹2,000 crore under the Build-Own-Operate (BOO) model, marking the largest private sector FDI in Bhutan’s solar energy sector to date.
In Q4 FY25, Reliance Power reported total income of ₹2,066 crore, EBITDA of ₹590 crore, and PAT of ₹126 crore. The company reduced its debt-to-equity ratio from 1.61:1 to 0.88:1, with net worth at ₹16,337 crore. It serviced ₹5,338 crore of debt over 12 months and now has zero bank debt with no defaults.
Shares of Reliance Power have delivered strong returns to shareholders, gaining 73.65% over the past year and rising 7.1% in the past week.
Reliance Power Limited, part of the Reliance Group, is one of India's leading private sector power generation companies. The company has an operating portfolio of 5,305 megawatts, which includes 3960 megawatts Sasan Power Limited (the world's largest integrated coal-based power plant).
Disclaimer: The article is for informational purposes only and not investment advice.
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