New Delhi, Sep 7 (TIWN): Reliance Power and its subsidiary, part of the Anil Ambani led Reliance Group on Monday intimated stock exchanges about signing of a pact with Varde Partners, a global alternative investment firm, to raise long-term resources of up to Rs 1,200 crore.

Reliance Power in a stock exchange filing said that this debt will be used for settlement and discharge and/or acquisition and restructuring of certain financial debt availed by it.

"The drawdown of the debt will be subject to finalisation and execution of binding documents and all requisite approvals including regulatory approvals as per applicable rules/ laws/ regulations," it said.

"The stock exchanges will be updated once the proposed financing terms are finalised and the definitive documents in relation to the proposed financing are executed,” it added. 

Shares of Reliance Power jumped on Monday post the announcement. At 12:52 pm, its shares were up 9.91 per cent at Rs 23.30 apiece on the NSE.

Reliance Power has one of the largest portfolios of power projects in the private sector, based on coal, gas, hydro and renewable energy, with an operating portfolio of 5,945 megawatts.