How Reliance Power & Infra Delivered 151% and 136% Returns: Anil Ambani’s comeback triumph: Once a titan of Indian industry, Anil Ambani faced a steep fall from grace, with his business empire crumbling under massive debt and legal battles. In 2020, he famously declared his net worth as “zero” in a UK court. Yet, in a stunning reversal of fortune, Anil Ambani’s comeback triumph has captured the attention of investors and market watchers alike. His flagship companies, Reliance Power and Reliance Infrastructure, have delivered jaw-dropping returns of 151% and 136%, respectively, in just one year, transforming from distressed assets to multibagger stocks. How did this happen? What strategies fueled this resurgence? This article dives deep into the factors behind how Reliance Power & Infra delivered 151% and 136% returns, offering insights for investors, business enthusiasts, and anyone curious about one of India’s most dramatic corporate comebacks.

In this comprehensive guide, we’ll explore the strategic moves, financial restructuring, and market dynamics that propelled Reliance Power and Reliance Infrastructure to new heights. From debt reduction to high-value contracts in renewable energy and defense, we’ll uncover the secrets behind Anil Ambani’s revival. Whether you’re an investor seeking opportunities or simply intrigued by this turnaround saga, this article provides actionable insights backed by data, expert analysis, and real-world examples.

The Fall and Rise of Anil Ambani: A Brief Overview

From Billionaire to Bankruptcy

Anil Ambani, the younger brother of Asia’s richest man, Mukesh Ambani, was once ranked among the world’s wealthiest individuals, with a net worth of $42 billion in 2008. His Reliance Group, encompassing telecom, power, infrastructure, and finance, was a powerhouse. However, overleveraging, poor investment decisions, and a series of legal and financial setbacks led to a dramatic collapse. By 2020, companies like Reliance Communications and Reliance Capital faced insolvency, and Anil Ambani’s personal wealth plummeted. His struggles were compounded by regulatory issues, including a SEBI ban in 2024, and a near-jail sentence in 2019 over unpaid dues to Ericsson, only averted by a last-minute bailout from Mukesh Ambani.

The Spark of Revival

Despite these challenges, 2024 and 2025 marked a turning point. With the help of his sons, Jai Anmol and Jai Anshul Ambani, Anil Ambani orchestrated a strategic overhaul of his remaining businesses, particularly Reliance Power and Reliance Infrastructure. These companies, once burdened by debt, have emerged as market darlings, delivering 151% and 136% returns in the past year. The resurgence is attributed to debt reduction, strategic diversification into high-growth sectors like defense and renewable energy, and favorable legal outcomes, sparking renewed investor confidence.

How Reliance Power & Infra Delivered 151% and 136% Returns

1. Debt Reduction: The Foundation of Recovery

One of the primary drivers of Anil Ambani’s comeback triumph was the aggressive debt reduction strategy implemented across Reliance Group companies. Both Reliance Power and Reliance Infrastructure have transitioned from heavily indebted entities to near debt-free status, boosting investor trust.

• Reliance Power’s Debt-Free Milestone: As of September 2024, Reliance Power became completely debt-free, having cleared Rs 17,812 crore in debt. Its subsidiary, Rosa Power, repaid Rs 850 crore to Varde Partners and an additional Rs 485 crore, achieving zero-debt status. The company’s debt-to-equity ratio improved from 1.62 in FY24 to 0.93 in FY25, reflecting financial discipline.
• Reliance Infrastructure’s Debt Slash: Reliance Infrastructure reduced its standalone external debt from Rs 3,831 crore to Rs 475 crore, a reduction of 87%. The company also raised Rs 3,000 crore through a Qualified Institutional Placement (QIP) to strengthen its balance sheet.

This debt cleanup removed a significant overhang, allowing both companies to focus on growth and profitability, which directly contributed to their stock price surges.

2. Strategic Diversification into High-Growth Sectors

Anil Ambani’s Reliance Group pivoted to high-growth sectors like renewable energy and defense, aligning with India’s national priorities such as the “Atmanirbhar Bharat” initiative. These strategic moves not only secured lucrative contracts but also positioned the companies as leaders in emerging markets.

• Renewable Energy Ventures:
  • Reliance Power’s Solar Push: Reliance Power’s subsidiary, Reliance NU Suntech, signed a 25-year Power Purchase Agreement (PPA) with the Solar Energy Corporation of India (SECI) for a 930 MW solar project integrated with a 465 MW/1,860 MWh Battery Energy Storage System (BESS), the largest of its kind in Asia. Another subsidiary, Reliance NU Energies, secured a 350 MW solar project with a 175 MW/700 MWh BESS. These projects, valued at up to Rs 10,000 crore, underscore Reliance Power’s focus on green energy.
  • Bhutan Partnership: Reliance Power partnered with Bhutan’s Druk Holding and Investments (DHI) to develop a 500 MW solar power plant and the Chamkharchhu-1 hydro project, further expanding its renewable energy portfolio.
• Defense Sector Breakthroughs:
  • Reliance Infrastructure’s Historic Achievement: Reliance Infrastructure became the first private Indian firm to independently execute a full-scale aircraft upgrade program, upgrading 55 Dornier-228 aircraft for Hindustan Aeronautics Limited (HAL) at a cost of Rs 350 crore. The company secured an additional order for 18 more aircraft and is eyeing Rs 5,000 crore in defense opportunities over the next 7–10 years.
  • Global Partnerships: Reliance Infrastructure’s subsidiary, Reliance Defence, partnered with Germany’s Diehl Defence to produce Terminally Guided Munitions (TGM) and with Rheinmetall AG to manufacture propellants and explosives in Maharashtra’s Ratnagiri district. These collaborations align with India’s “Make in India” initiative and position Reliance as a key player in defense manufacturing.

These strategic forays into high-growth sectors have driven investor optimism, as evidenced by posts on X highlighting Reliance Power’s 2,600% five-year gain and Reliance Infrastructure’s defense push.

3. Financial Performance and Profitability

Both companies reported stellar financial results in FY25, reversing years of losses and fueling their stock rallies.

• Reliance Power’s Profit Surge:
  • In Q4 FY25, Reliance Power reported a consolidated net profit of Rs 126 crore, compared to a loss of Rs 397.56 crore in Q4 FY24. For the full year, the company posted a net profit of Rs 2,948 crore, a stark contrast to a Rs 2,068 crore loss in FY24.
  • The company raised Rs 348.15 crore through equity infusion from Reliance Infrastructure and Basera Home Finance Pvt Ltd, bolstering its financial position.
• Reliance Infrastructure’s Turnaround:
  • In Q4 FY25, Reliance Infrastructure achieved a consolidated profit of Rs 4,387 crore, reversing a Rs 3,298 crore loss from the previous quarter. Its adjusted EBITDA soared 681% to Rs 8,876 crore, and its net worth rose 44% to Rs 14,287 crore.
  • The company’s market capitalization swelled to Rs 10,192.46 crore, reflecting strong market confidence.

These financial improvements, coupled with debt reduction, have made Reliance Power and Reliance Infrastructure attractive to investors seeking multibagger opportunities.

4. Legal Victories and Market Confidence

Legal relief has played a crucial role in Anil Ambani’s comeback triumph. Key wins include:

• Reliance Infrastructure’s Arbitration Win: The Bombay High Court ordered the Mumbai Metropolitan Region Development Authority (MMRDA) to pay Rs 1,169 crore to Mumbai Metro One Pvt Ltd (MMOPL), a Reliance Infrastructure subsidiary, resolving a long-standing payment dispute. This boosted the company’s stock price and financial stability.
• NCLAT Relief: The National Company Law Appellate Tribunal (NCLAT) suspended an insolvency order against Reliance Infrastructure and set aside a petition against Reliance Communications, removing significant legal overhangs.
• SECI Debarment Relief: Reliance Power received interim relief from the Delhi High Court against a debarment order by SECI, allowing it to participate in new renewable tenders.

These victories have restored investor confidence, as seen in the 173% and 141% surges in Reliance Power and Reliance Infrastructure stock prices over the past year.

5. The Role of Jai Anmol and Jai Anshul Ambani

Anil Ambani’s sons, Jai Anmol and Jai Anshul, have been instrumental in the revival. Their strategic leadership and fresh perspectives have revitalized the Reliance Group:

• Jai Anmol Ambani: As Executive Director of Reliance Capital, Jai Anmol facilitated Nippon’s increased stake in Reliance Nippon Life Asset Management, boosting its value. His efforts in debt reduction and new ventures have been pivotal, contributing to his personal net worth of Rs 2,000 crore.
• Jai Anshul Ambani: Jai Anshul is driving new ventures like Reliance Nippon Life Insurance and Reliance Capital Asset Management, focusing on sustainable growth.

Their involvement has not only strengthened the group’s operations but also signaled a generational shift, enhancing investor trust.

Case Study: Reliance Power’s Solar Mega-Project

To illustrate how Reliance Power & Infra delivered 151% and 136% returns, consider Reliance Power’s landmark solar project:

• Project Details: Reliance NU Suntech’s 930 MW solar project with a 465 MW/1,860 MWh BESS, signed with SECI, is Asia’s largest integrated solar and battery storage initiative. The project, valued at Rs 10,000 crore, is set to deliver clean energy for 25 years.
• Impact on Stock: Following the announcement, Reliance Power’s stock surged 76% in one month, hitting a 52-week high of Rs 71.17 on June 10, 2025. The stock’s five-year gain of over 2,600% underscores its multibagger status.
• Investor Sentiment: The project aligns with India’s renewable energy goals, attracting institutional investors and boosting market capitalization to Rs 16,614 crore.

This case study highlights how strategic project wins can drive stock performance and investor confidence.

Technical Analysis: Why Investors Are Bullish

Technical indicators suggest continued upside for both stocks:

• Reliance Power: The stock is trading above all key Simple Moving Averages (SMAs), with a Relative Strength Index (RSI) of 77.1, indicating overbought conditions but strong bullish momentum. A breakout from a “rectangle” pattern on the weekly chart signals further price increases.
• Reliance Infrastructure: The stock has formed an ascending triangle pattern and moved above its 200-day moving average, with a 14-period RSI in the bullish zone. Its 1,700% five-year gain reflects sustained investor interest.

Analysts warn of volatility due to past financial struggles, recommending thorough research before investing.

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FAQ Section

FAQ 1: What Drove Anil Ambani’s Comeback Triumph in 2025?

Anil Ambani’s comeback was fueled by a combination of debt reduction, strategic diversification, and strong financial performance. Reliance Power and Reliance Infrastructure, once burdened by debt, became nearly debt-free by 2024, boosting investor confidence. Reliance Power cleared Rs 17,812 crore in debt, while Reliance Infrastructure reduced its debt from Rs 3,831 crore to Rs 475 crore. Strategic moves into renewable energy, such as Reliance Power’s 930 MW solar project, and defense, with Reliance Infrastructure’s Dornier-228 upgrades, aligned with India’s growth sectors. Legal victories, including a Rs 1,169 crore arbitration win for Reliance Infrastructure, further enhanced market sentiment. The involvement of Anil’s sons, Jai Anmol and Jai Anshul, brought fresh leadership, contributing to the group’s revival. These factors collectively drove 151% and 136% returns for Reliance Power and Infrastructure, respectively.

FAQ 2: How Did Reliance Power Achieve 151% Returns?

Reliance Power’s 151% returns were driven by its transition to a debt-free status and strategic focus on renewable energy. The company reported a net profit of Rs 2,948 crore in FY25, reversing a Rs 2,068 crore loss from FY24. Key projects, like the 930 MW solar and 465 MW/1,860 MWh BESS project by Reliance NU Suntech, attracted significant investor interest. The company’s debt-to-equity ratio improved to 0.93, reflecting financial stability. Legal relief from the Delhi High Court against a SECI debarment order allowed Reliance Power to participate in new tenders, further boosting its stock. Technical indicators, such as trading above key SMAs and a bullish “rectangle” pattern breakout, signal continued upside, though analysts caution about volatility.

FAQ 3: Why Did Reliance Infrastructure Deliver 136% Returns?

Reliance Infrastructure’s 136% returns stemmed from its debt reduction, defense sector breakthroughs, and legal wins. The company slashed its standalone debt to Rs 475 crore and achieved a Q4 FY25 profit of Rs 4,387 crore, reversing a prior loss. Its historic upgrade of 55 Dornier-228 aircraft for HAL, valued at Rs 350 crore, marked it as India’s first private firm to independently manage such a program. Partnerships with global defense firms like Diehl Defence and Rheinmetall AG positioned it for Rs 5,000 crore in future opportunities. A Rs 1,169 crore arbitration win from MMRDA further strengthened its financials. Bullish technical patterns, including an ascending triangle, support its upward trajectory.

FAQ 4: Is Investing in Reliance Power and Infrastructure Safe?

Investing in Reliance Power and Reliance Infrastructure carries both opportunities and risks. Their 151% and 136% returns reflect strong momentum, driven by debt reduction, profitable projects, and legal wins. However, past financial struggles and high stock volatility warrant caution. Reliance Power’s RSI of 77.1 indicates overbought conditions, and Reliance Infrastructure’s stock has traded below its current P/E ratio 80% of the time, suggesting potential overvaluation. Analysts recommend thorough research and consultation with financial advisors before investing. While the companies’ focus on renewable energy and defense aligns with India’s growth sectors, their history of insolvency and regulatory issues suggests investors should diversify and monitor market developments closely.

FAQ 5: What Role Did Anil Ambani’s Sons Play in the Comeback?

Jai Anmol and Jai Anshul Ambani were pivotal in Anil Ambani’s comeback triumph. Jai Anmol, as Executive Director of Reliance Capital, facilitated Nippon’s increased stake in Reliance Nippon Life Asset Management, boosting its value. His leadership in debt reduction and new ventures contributed to his net worth of Rs 2,000 crore. Jai Anshul is driving initiatives in Reliance Nippon Life Insurance and Reliance Capital Asset Management, focusing on sustainable growth. Their strategic vision and active involvement in Reliance Power and Reliance Infrastructure have revitalized investor confidence, helping secure high-value contracts in renewable energy and defense. Their efforts have been crucial in transforming the Reliance Group from a debt-ridden entity to a multibagger powerhouse.

Conclusion: A New Chapter for Anil Ambani

Anil Ambani’s comeback triumph is a testament to resilience, strategic vision, and the power of second chances. By transforming Reliance Power and Reliance Infrastructure into debt-free, profitable entities, Ambani has defied skeptics and delivered 151% and 136% returns to investors. The companies’ focus on renewable energy and defense, coupled with legal victories and the leadership of Jai Anmol and Jai Anshul, has positioned them for sustained growth. While risks remain due to past volatility, the Reliance Group’s revival offers valuable lessons for investors and business leaders.

What are your thoughts on Anil Ambani’s turnaround? Have you considered investing in Reliance Power or Reliance Infrastructure? Share your insights in the comments below or subscribe to our newsletter for more market updates!