Stock Market: First the share fell from ₹ 2600 to ₹ 8, now approval to recover double 21000 crores as compared to market cap:

News Topical, Digital Desk : This decision has come after the latest order of the Supreme Court. The way has been cleared for the company to recover its dues of about ₹ 21,413 crore. A petition was filed in the Supreme Court in the year 2014, in which issues like non-cost-reflective tariff (ie lower rates than cost), improperly created regulatory assets and delay in its recovery were raised. The Supreme Court, while giving a detailed order in this matter on 6 August 2025, has said that the tariff should be cost reflective. Regulatory assets should be created only in exceptional circumstances. Regulatory assets should not exceed 3% of the total revenue requirement (ARR). If such assets are created, they should be finished within 3 years. Recovery of old assets should start from 1 April 2024 and be completed in 4 years. Let us tell you that the market cap of the company is Rs 11000 crore (till 8 August 2025).

Let us tell you that the stock has been on a bullish trend since the year 2020. The stock has come close to Rs 300. Meanwhile, buying by FIIs i.e. foreign institutional investors continues. As compared to June 2024, the share of FIIs has increased from 16.5 per cent to 19.05 per cent by June 2025.

This company is Reliance Infrastructure. It is one of the largest infrastructure companies in the country , which builds projects in sectors like power, road, metro and defense. The company has completed the metro rail and many road projects in Mumbai on BOOT and BOT models. Along with this, the company is also active in the field of power distribution. Apart from this, the company has made another big announcement on the exchange. After 6 years, another news of relief has come. The company's credit rating has jumped tremendously and the company has come out of the image of default. Rating agency India Ratings and Research has increased the company's credit rating by three notches from 'IND D' to 'IND B/Stable'.

Big news on the exchange - Electricity regulators (ERCs) will have to give a clear roadmap on how this recovery will be done, which should also include a provision for interest. APTEL (Appellate Tribunal for Electricity) has been given the right to monitor whether these rules are being implemented or not.

What does this mean for the common people - The two major electricity distribution companies in Delhi have now got the right to compensate for the regulatory assets created in the past years. Its effect can be seen in the form of a partial increase in electricity rates in the coming years, because these companies will now be able to recover this amount.

What does the company say - Reliance Infrastructure has said that this decision can become an example for the entire power sector. This will not only help in improving the financial condition of companies, but will also bring clarity regarding regulations in future.