Reliance Power, 50 percent owned by power producer Reliance Energy Ltd, is part of the Anil Dhirubhai Ambani Group (ADAG), which owns the rest through other group companies.The offer will be open from Jan. 15 to Jan. 18.
Anil Ambani Speech from Reliance Power IPO Press Brief
On behalf of ADAG I welcome all of you witness the announcement of a very very important of
a very very young ADAG Group. This group is a creation of the demerger and the restructuring of the group. vision dreams of late father DA As I reflect back roughly 2.5 yrs the ADAG rewarding journey opportunity in June 2005, to be born again as a new group
She took great care in ensuring .. such is the love and affection of all mothers
and I must acknowledge the role played by my mother..
The reliance group was the vision of one man,it was the dream and it continues..
I had the big fortune to be the part from 1982 and the opportunity to be part of every major capital raising programmes and that was invaluable learning process under the able and living guidance of my late father. The journey began in 70s slogan roti, kapda or maakan
father chose kada, started textile vimal. that was the birth of RIL
Then came 2000, roti, kapda, makaan mobile.That was the big rev of telecom in the country
What we see in 2008 is for india roti, kapda, makan, mobile, power it was always vision of my late father to provide high quality low cost services in every area..
financial , entertainment, energy i think we are fully committted in this
ADAG June 2005 the market value of 15000 crores , currently as I stand here in front of you its 32500 crores making us the second largest industry group This is something we have accomplished with the support of over 7 million retail investors and 100s of domestic and foreign investors.
CNBC journalist ->40% Gas based.
ADA:Bullish on Gas.Returns will be based on project specific.
Why no wind energy?
ADA:Part of thought process...will unveil . We have operations in Karnataka. Projects in the pipeline.
ADA: Nuclear Power->pipeline.
Imported coal-> Looking at future demand, there will be number of projects. There are number of countries that like to give coal long term. Looking for agreements. Risk management for coal and transportation.
Land Acquisition Issue?
ADA:Packages
CNBC Aawaz->Revenue Visibilty
ADA: Our direction is an accelarated schedule of execution. Dividends , Capital Appreciation
Economic Times->Transfer REL
All Power generation in RELPOWER.
Journalist: Please tell abt Mode of execution
ADA: India going to be no different.SPV for different projects. Ex. Arunachal Pradesh. will be an SPV.
Livemint: Want reply in Hindi
Maakan . kab logon ko
ADA: Aur kisi ko bolo. competition koi takleef nahin hain.bohaut saare entrepaneurs hain already
Reuters: When do you plan to announce pre-IPO? What will be price?
ADA:Usually you have all insider info. Unfortunately we dont have any pre-IPO placement. We have moved ahead . So we will stick to our announcement.
Reuters:When do u plan to list?
We are consious about financial penalty..We are targetting to list in first week of Feb 2008. It will be quite enviable task.
Reuters:Financial penalties?
ADA: Yes, people are blocking money. So faster we finish , faster we refund, the better.
Reuters: What happens to REL ? What does Reliance energy do?
ADA:It will hold 45% of company.It will be the parent company. There are number of projects in infra, transmission, distribution franchisees, ..At the end of the day investors will value it.
Journalist: Require Financing.What will be the key challenges..
ADA: I personally believe that India has come a long way. In 1990s as tariffs went down,...
In 2008 , I think the last issue is availability of financial resources. We have loan offers more than that we can consume. There is huge amount of debt appettite...
Media: When do we see financing of remaining 12 projects?
ADA:We launch into after financial closure. We dont go without that. We are strong promoters. We have ability to cushion risk capital. Debt capital is easily available.
CNBC:When the case came in bombay high court. unless RIL commits to supply gas, financing issues. How important is the court directions?
ADA:Financing is equally important.I would not underrate the importance of financing. With our credit history and record we can get funds. For the risk you take you get reward. Most of matters as sub judice..
Archana, Bloomberg: How are you managing equipment shortages? What kind of hiring people?
ADA: We have strategic partners who will deliver. We are very confident that we wont face shortage. We will talk about tie ups later. People - no shortage of talent either for project or operations. I just give u an idea, for sasun 24x7 operations we require only under 500 ppl per shift, so these are not people consuming , but thousands of ppl for construction. Also we can bring foreign talents example we have 100s of foreign nationals in telecom sector. So if we plan its not big challenge.
Archana, Bloomberg: How many people will you hire for Reliance Power?
ADA:5000, 75000 constructors.
End to end power... Is there a possibility to make machines?
ADA:We get lots of our ideas from media, we are in active discussions to make things. Delivery and quality challenges. So its not build/buy but is there value? Will that be under REL or RPOWER? It won't be under REL or RPOWER.
Plans other than Power..
ADA: Sustainable value creation for shareholders. jo bhi katham ...
ADA: One last question.. not from CNBC... :)
Vijaykumar from UNI:Massive power projects..Do you plan further companies for these projects?
ADA: As per current thinking of govt, they want more private participation...
Journalist:What will be the valuation given by merchant bankers?
ADA:Ask men at podium
Merchant Banker:Secondary Market for powersector response is huge.
ADA: Hope to see you in the first week of February...
Anil Ambani Speech from Reliance Power IPO Press Brief
On behalf of ADAG I welcome all of you witness the announcement of a very very important of
a very very young ADAG Group. This group is a creation of the demerger and the restructuring of the group. vision dreams of late father DA As I reflect back roughly 2.5 yrs the ADAG rewarding journey opportunity in June 2005, to be born again as a new group
She took great care in ensuring .. such is the love and affection of all mothers
and I must acknowledge the role played by my mother..
The reliance group was the vision of one man,it was the dream and it continues..
I had the big fortune to be the part from 1982 and the opportunity to be part of every major capital raising programmes and that was invaluable learning process under the able and living guidance of my late father. The journey began in 70s slogan roti, kapda or maakan
father chose kada, started textile vimal. that was the birth of RIL
Then came 2000, roti, kapda, makaan mobile.That was the big rev of telecom in the country
What we see in 2008 is for india roti, kapda, makan, mobile, power it was always vision of my late father to provide high quality low cost services in every area..
financial , entertainment, energy i think we are fully committted in this
ADAG June 2005 the market value of 15000 crores , currently as I stand here in front of you its 32500 crores making us the second largest industry group This is something we have accomplished with the support of over 7 million retail investors and 100s of domestic and foreign investors.
- Rs.20 less than issue price for public.
- Reliance Power IPO 15 to 18
- Part payment option available.
- To be listed in the first week of February
- 60%QIB ,30%Retail (due to regulations.)
- 16crores - 300crores ADAG grew Last year.
- Every listed company of ADAG beat sensex in 2007.
- Per Capita Power Consumption 618 units is less than 1/4th of world average.
- Installed Capacity CAGR power 4%, China 12%
- india 25 yr = china 1 year
GDP 9% end of 10th plan - 07 - energy shortage 14% Generation coal,gas,hydro captive coal - 6states sell power sasan, krishnapatnam power trading uttarkhand arunachal largest domestic sasan december 09- first commision 40% Gas. Bullish on Gas
***** Media Question Time*********
CNBC journalist ->40% Gas based.
ADA:Bullish on Gas.Returns will be based on project specific.
Why no wind energy?
ADA:Part of thought process...will unveil . We have operations in Karnataka. Projects in the pipeline.
ADA: Nuclear Power->pipeline.
Imported coal-> Looking at future demand, there will be number of projects. There are number of countries that like to give coal long term. Looking for agreements. Risk management for coal and transportation.
Land Acquisition Issue?
ADA:Packages
CNBC Aawaz->Revenue Visibilty
ADA: Our direction is an accelarated schedule of execution. Dividends , Capital Appreciation
Economic Times->Transfer REL
All Power generation in RELPOWER.
Journalist: Please tell abt Mode of execution
ADA: India going to be no different.SPV for different projects. Ex. Arunachal Pradesh. will be an SPV.
Livemint: Want reply in Hindi
Maakan . kab logon ko
ADA: Aur kisi ko bolo. competition koi takleef nahin hain.bohaut saare entrepaneurs hain already
Reuters: When do you plan to announce pre-IPO? What will be price?
ADA:Usually you have all insider info. Unfortunately we dont have any pre-IPO placement. We have moved ahead . So we will stick to our announcement.
Reuters:When do u plan to list?
We are consious about financial penalty..We are targetting to list in first week of Feb 2008. It will be quite enviable task.
Reuters:Financial penalties?
ADA: Yes, people are blocking money. So faster we finish , faster we refund, the better.
Reuters: What happens to REL ? What does Reliance energy do?
ADA:It will hold 45% of company.It will be the parent company. There are number of projects in infra, transmission, distribution franchisees, ..At the end of the day investors will value it.
Journalist: Require Financing.What will be the key challenges..
ADA: I personally believe that India has come a long way. In 1990s as tariffs went down,...
In 2008 , I think the last issue is availability of financial resources. We have loan offers more than that we can consume. There is huge amount of debt appettite...
Media: When do we see financing of remaining 12 projects?
ADA:We launch into after financial closure. We dont go without that. We are strong promoters. We have ability to cushion risk capital. Debt capital is easily available.
CNBC:When the case came in bombay high court. unless RIL commits to supply gas, financing issues. How important is the court directions?
ADA:Financing is equally important.I would not underrate the importance of financing. With our credit history and record we can get funds. For the risk you take you get reward. Most of matters as sub judice..
Archana, Bloomberg: How are you managing equipment shortages? What kind of hiring people?
ADA: We have strategic partners who will deliver. We are very confident that we wont face shortage. We will talk about tie ups later. People - no shortage of talent either for project or operations. I just give u an idea, for sasun 24x7 operations we require only under 500 ppl per shift, so these are not people consuming , but thousands of ppl for construction. Also we can bring foreign talents example we have 100s of foreign nationals in telecom sector. So if we plan its not big challenge.
Archana, Bloomberg: How many people will you hire for Reliance Power?
ADA:5000, 75000 constructors.
End to end power... Is there a possibility to make machines?
ADA:We get lots of our ideas from media, we are in active discussions to make things. Delivery and quality challenges. So its not build/buy but is there value? Will that be under REL or RPOWER? It won't be under REL or RPOWER.
Plans other than Power..
ADA: Sustainable value creation for shareholders. jo bhi katham ...
ADA: One last question.. not from CNBC... :)
Vijaykumar from UNI:Massive power projects..Do you plan further companies for these projects?
ADA: As per current thinking of govt, they want more private participation...
Journalist:What will be the valuation given by merchant bankers?
ADA:Ask men at podium
Merchant Banker:Secondary Market for powersector response is huge.
ADA: Hope to see you in the first week of February...
Comments