Seventeen years ago, it broke records. Then, it broke investor trust. Now, in a stunning twist of fate, Reliance Power share price has risen 54% in 30 days—not on speculation, but on substance.
Reliance Power has risen 51% in the last month and has got investors talking again about a company that once was the epitome of market euphoria and post-IPO disappointment.
From being one of the most hated IPOs of 2008 to now a serious player in the clean energy space, Reliance Power’s comeback story is a textbook case of strategic turnaround, corporate resilience and changing fortunes.
The Rise and Fall: The 2008 IPO That Shook Dalal Street
Reliance Power’s stock market journey began with great fanfare. Backed by the Reliance brand and Anil Ambani’s then rising corporate empire, the Reliance Power IPO in January 2008 raised INR 11,563 crore—the largest IPO ever at that time.
Retail and institutional investors queued up despite the company having no operational assets and a net profit of just INR 16 lakh. Reliance Power IPO was oversubscribed 73 times. On listing day, 11 February 2008, the stock opened at INR 530—a 17% premium over the issue price—but closed at INR 372, giving losses on day one. That was the beginning of a long and painful journey for investors.
While the company tried to salvage the situation by issuing free bonus shares to IPO investors (excluding promoters), the stock never recovered from the IPO price. The IPO, once the crown jewel of Anil Ambani’s business empire, became a cautionary tale of hype over substance.
📈 Snapshot: Reliance Power Stock Rally
| Metric | Value |
|---|---|
| 1-Month Return | +54% |
| 1-Year Return | +115.73% |
| 52-Week High | INR 76.49 |
| 5-Year Gain | +2,400% |
| Current Market Cap | INR 27,641 Cr |
Fast Forward to 2025: Key Drivers Behind Reliance Power Share Price Surge?
Seventeen years later, Reliance Power is no longer the loss making, debt ridden company it once was. The rise in Reliance Power share price is not just speculative; it’s backed by a series of well executed moves and positive developments. Here are the five key drivers of the price rise:
#1 Renewable Energy Pivot: Mega Solar + BESS Projects
Reliance Power has aggressively repositioned itself as a new energy leader through its subsidiaries:
- Reliance NU Suntech signed a 25-year Power Purchase Agreement (PPA) with SECI to develop Asia’s largest single-location integrated solar + BESS (Battery Energy Storage System) project. The INR 10,000 crore project will deliver 930 MW of solar and 465 MW/1,860 MWh of storage at INR 3.53/kWh.
- Reliance NU Energies bagged a 350 MW solar + 175 MW/700 MWh BESS project from SJVN, further cementing Reliance Power’s position in India’s clean energy transition.
These wins give Reliance Power a renewable pipeline of over 2.5 GWp solar and 2.5 GWh storage capacity—the largest in the country, a massive leap from its fossil-fuel-heavy past.
#2 Equity Infusion and Debt-Free Operations
In October 2024, the company raised INR 1,525 crore through a preferential issue of 46.20 crore warrants. In May 2025, 10.55 crore shares worth INR 348.15 crore were converted, bringing in capital from Reliance Infrastructure (promoter) and Basera Home Finance.
This equity infusion supports:
- Renewable project funding
- Strengthening the company’s balance sheet
- Maintaining Reliance Power’s zero-bank debt status
A rare feat in India’s power sector, this unleveraged position offers the firm flexibility for future expansions without pressure from creditors.
#3 Bhutan Bet & Cross-Border Growth
In May 2025, Reliance Power signed a commercial term sheet with Bhutan’s Green Digital, backed by Druk Holding & Investments Ltd (DHI). Through a 50:50 JV, the companies will develop Bhutan’s largest solar project (500 MW) with INR 2,000 crore in FDI.
This represents:
- A landmark cross-border renewable partnership
- The company’s first foreign solar venture
- New long-term PPA revenues in a stable regulatory environment
#4 Regulatory Relief & Market Confidence Boost
In December 2024, Reliance Power and its subsidiaries (barring one) were debarred by SECI from participating in future tenders. However, in a dramatic turnaround, SECI withdrew the debarment in early December, following legal proceedings. This reinstated the company’s eligibility and improved investor confidence.
#5 Return to Profitability
In Q4 FY25, Reliance Power reported a consolidated net profit of INR 126 crore, compared to a loss of INR 397.56 crore in the same quarter last year. This was driven by:
- Equity infusions
- Strong operational performance from Sasan and Rosa thermal assets
- Revenue visibility from renewable projects
A Tale of Redemption or Temporary Rally?
Reliance Power share prices has risen 115% over the past year, and over 2,400% in the last five years, making it one of the best-performing power stocks in India. For a company that once faced bankruptcy proceedings, regulatory bans, and investor lawsuits, this rise is both stunning and sobering.
Anil Ambani—once written off after his 2020 bankruptcy declaration—now finds himself back in market conversations, with two of his firms “Reliance Infra and Reliance Power” delivering triple-digit returns in under 12 months.
⛔ Then vs Now: The Contrast That Tells All
| 2008 | 2025 | |
| Revenue Source | Promises | Operational Projects |
| Capital Use | IPO hype | Renewable assets |
| Market Mood | Frenzied | Cautiously optimistic |
| Promoter Focus | Conglomerate spread | Focused energy pivot |
Verdict: Momentum or Mirage?
The 54% surge in Reliance Power share price isn’t just sentiment-driven. It’s built on:
- Execution of clean energy projects
- A cleaner balance sheet
- Cross-border expansion
Yet, the road ahead requires navigating:
- Project execution risks
- Regulatory scrutiny
- Residual legacy baggage
If it continues delivering on its solar+BESS roadmap, Reliance Power may no longer be the poster child of investor regret—but of redemption.
Disclosure: This article is for informational purposes and not a recommendation to buy or sell any securities. Please consult a financial advisor before investing.