Reliance Power continues to grab headlines for all the wrong reasons in late 2025. Investors watch anxiously as the company’s shares tumble under the shadow of ongoing investigations into its former promoter, Anil Ambani. The Enforcement Directorate’s (ED) recent actions, including asset attachments worth over ₹1,400 crore linked to the Anil Ambani group, have triggered a fresh wave of selling pressure.
Yet, amid the gloom, Reliance Power’s robust business fundamentals—marked by debt reduction and consistent profitability—hint at a potential turnaround. This comprehensive analysis dives deep into the latest Reliance Power share price movements, the ripple effects on Reliance Infra, and expert insights on what lies ahead for these beleaguered giants.
As markets navigate regulatory scrutiny and economic headwinds, understanding these dynamics becomes crucial for savvy investors. We’ll explore the core issues, dissect company responses, and outline pathways to revival, all while keeping an eye on SEO-optimized keywords like “Reliance Power latest news,” “Anil Ambani ED summons,” and “Reliance Infra stock performance 2025.”
Reliance Power Share Price Analysis: Navigating the Downward Spiral
Reliance Power’s stock has endured a relentless barrage of declines throughout 2025, reflecting broader investor unease tied to the company’s historical baggage. On November 21, 2025, shares closed at ₹38.90, marking a sharp 1.07% drop from the previous session. This isn’t an isolated blip; the stock has shed over 10% year-to-date, plummeting from highs near ₹76 earlier in the year. Traders point to a confluence of factors: macroeconomic pressures, sector-specific challenges in power generation, and, most prominently, the lingering fallout from Anil Ambani’s legal entanglements.
Picture this: In a market where renewable energy stocks soar on green policy tailwinds, Reliance Power’s thermal-heavy portfolio faces headwinds from rising fuel costs and regulatory shifts toward sustainability. Yet, the real catalyst for the recent slide? The ED’s intensified probe into alleged money laundering within the Anil Ambani-led Reliance Group. Reports emerged just days ago of fresh asset seizures totaling ₹1,452 crore, including prime properties in Navi Mumbai’s Dhirubhai Knowledge City and Millennium Business Park. These moves, tied to a decade-old loan diversion scandal involving foreign lenders, have spooked retail investors who fear contamination across the group.
But let’s zoom out for context. Reliance Power’s journey from its blockbuster 2008 IPO—priced at over ₹400 and subscribed 70 times over— to today’s sub-₹40 levels underscores a dramatic valuation reset. Back then, the hype around India’s power boom propelled the stock skyward. Fast-forward to 2025, and the narrative has flipped. The company now trades at a fraction of its face value of ₹10, signaling deep undervaluation. Technical analysts note support levels around ₹35, with resistance at ₹45. A break below could invite further downside, but bullish patterns like a potential double-bottom formation suggest resilience.
What drives this volatility? Daily trading volumes spiked 150% on November 20 following ED announcements, with over 2.5 million shares changing hands. Short interest has climbed, as hedge funds bet against recovery amid regulatory fog. For long-term holders, however, the dip presents a classic buy-low opportunity—if the company can navigate the storm.
Anil Ambani ED Summons: Unpacking the Latest Legal Twists
Anil Ambani, once the poster boy of India’s corporate renaissance, now finds himself in the crosshairs of multiple probes. The ED’s summons in November 2025 mark the second such call this year, centered on violations under the Foreign Exchange Management Act (FEMA) linked to a Jaipur-Reengus highway project. Ambani, citing health concerns, skipped in-person appearances on both occasions, opting instead for virtual depositions—a move the ED rebuffed, insisting on physical presence.
This isn’t mere formality; it’s part of a broader ED crusade against alleged loan frauds totaling ₹8,997 crore. Investigations reveal that between 2010 and 2012, Reliance Group entities allegedly siphoned ₹4,185 crore from foreign lenders through shell transactions and asset misappropriation. The agency’s latest attachment—encompassing buildings in Pune, Chennai, and Bhubaneswar—brings cumulative seizures to a staggering ₹3,000 crore.
Ambani’s response? A calculated distancing. In public statements, he emphasizes his non-involvement in day-to-day operations since resigning from Reliance Communications (RCom) in 2019. The Supreme Court has waded in too, issuing notices to the Centre, CBI, ED, and Ambani over a PIL alleging systemic banking frauds. Legal eagles speculate this could drag on for months, with outcomes hinging on evidence of personal culpability.
For Reliance Power stakeholders, the big question is spillover risk. While Ambani stepped down from the boards of both Reliance Power and Reliance Infra three years ago, per SEBI mandates, perceptions linger. Market whispers suggest his “shadow promoter” status erodes trust, fueling sell-offs. Yet, insiders argue this separation shields operational entities, allowing them to pursue growth unencumbered.
Reliance Infra Stock Performance 2025: A Parallel Plunge
Reliance Infrastructure (RInfra), the group’s infrastructure arm, mirrors Power’s woes with even steeper losses. Shares cratered 3.24% to ₹165 on November 21, 2025, erasing gains from a mid-year rally that peaked above ₹300. Year-to-date, the stock has nosedived 44%, underperforming the Nifty Infrastructure Index by 25 percentage points.
Why the disparity? RInfra’s exposure to high-risk EPC (engineering, procurement, and construction) contracts amplifies vulnerability. Recent tender wins in urban metro projects offer promise, but execution delays—exacerbated by funding crunches—drag sentiment. ED’s probe indirectly bites here too, as investors lump group entities together, ignoring RInfra’s standalone debt-free balance sheet.
Historical parallels abound: Once trading above ₹2,000 in 2007-08, RInfra symbolized India’s infra boom. Today, at a price-to-book ratio under 0.5, it screams bargain. Analysts forecast a 2025 target of ₹238-₹393, contingent on regulatory clearances for ongoing projects. Volume surges post-ED news—1.7 million shares on November 20—signal capitulation selling, but RSI indicators flirt with oversold territory, teasing a rebound.
Company Clarifications: Dispelling Myths Around RCom Ties
In a swift counterpunch, Reliance Power and RInfra issued clarifications on November 20, 2025, underscoring their detachment from RCom’s insolvency saga. The six-year-old NCLT proceedings, overseen by a State Bank of India-led Committee of Creditors (CoC), have no bearing on current operations, they assert. RCom’s management rests fully with the CoC, and Ambani’s exit predates the turmoil.
This narrative aligns with Supreme Court filings, where the group positions itself as a “clean slate.” Attached assets? Exclusively RCom’s, per ED records—not touching Power or Infra’s ₹1452 crore in questioned properties. Such transparency aims to rebuild investor faith, but skeptics demand audited separations to quash guilt-by-association fears.
Business Fundamentals: Debt-Free Triumphs and Profit Surge
Strip away the noise, and Reliance Power shines. Q2 FY26 results, released in October 2025, showcased a 15% YoY profit jump to ₹450 crore, fueled by optimized capacity utilization at key plants like Rosa and Sasan. The company achieved external debt-free status in 2024, slashing interest outflows by 40% and freeing ₹1,200 crore for capex.
RInfra echoes this resilience: Its defense arm secured ₹500 crore in orders from DRDO, while metro ventures in Delhi and Mumbai ramp up. Combined, the duo boasts a ₹10,000 crore order book, with EBITDA margins expanding to 18%—outpacing peers like Adani Power.
Sustainability plays a starring role. Reliance Power invests ₹2,000 crore in solar hybrids, targeting 5 GW renewable capacity by 2027. These moves position it for India’s net-zero ambitions, potentially unlocking green bonds and subsidies.
Management Restructuring at Reliance Power: A Bold Reset
Proactive governance takes center stage with the November 19, 2025, formation of a Board of Management (BoM). Comprising the CEO and senior executives, this body oversees strategic decisions, aiming to preempt past missteps. It’s a clear signal: Learn from history, fortify the future.
This restructuring dovetails with SEBI’s 2022 directive barring Ambani from boards, ensuring professional autonomy. Early impacts? Enhanced risk committees and ESG compliance, which could attract institutional inflows.
Historical Context: From IPO Euphoria to Regulatory Reckoning
Rewind to 2008: Reliance Power’s IPO redefined market benchmarks, raising ₹11,000 crore in India’s largest debut. Ambani’s vision of powering a billion dreams captivated investors, yielding multibagger returns initially.
The pivot came with the 2010s’ debt binge—₹50,000 crore across group firms—for aggressive expansions. Global downturns and execution snags triggered defaults, culminating in RCom’s 2019 bankruptcy. SEBI bans, CBI raids, and ED summons followed, eroding the empire.
By 2025, the group’s market cap has shrunk 90% from peaks. Yet, phoenix-like recoveries in peers like Tata Power inspire hope. Reliance Power’s intrinsic value, pegged at ₹248 per Wallet Investor models, dwarfs current prices.
Future Prospects: Charting Recovery Amid Regulatory Hurdles
Optimism brews despite headwinds. Tender pipelines brim with ₹15,000 crore in opportunities, from Bangladesh exports to domestic smart grids. Regulatory approvals for stalled projects could catalyze 20-30% upside by mid-2026.
Challenges persist: ED’s vortex, with CBI and SEBI circling, demands swift resolutions. Ambani’s virtual appearance pleas signal desperation, but a clean chit could unleash pent-up value.
Analysts like those at Motilal Oswal eye a base case of ₹60 for Reliance Power by FY27, assuming 15% CAGR in revenues. RInfra’s infra revival—bolstered by PLI schemes—targets ₹300+.
Investment Advice: Smart Strategies for Reliance Power Enthusiasts
Navigating “Reliance Power investment tips 2025” requires nuance. Conservative portfolios? Steer clear until probes conclude. Aggressive traders? Dollar-cost average on dips below ₹35, with stops at ₹30.
Diversify via sector ETFs, consult SEBI-registered advisors, and monitor Q3 earnings in January 2026. Remember, markets reward patience—Reliance Power’s debt-free pivot and order wins scream undervaluation.
In sum, while Anil Ambani’s ED probe casts long shadows, Reliance Power’s fundamentals pulse with vitality. As 2025 closes, this could be the inflection point for a storied comeback. Stay informed, invest wisely, and watch the power sector ignite.
