Reliance Power Crashes on Debut

Reliance Power Ltd., which raised $3 billion in India's biggest initial public offering, fell as much as 14 percent on debut as a global equities sell-off dried up appetite for new share offerings.
If you look at Reliance Power, I would say valuations were just too rich,'' said P. Phani Sekhar, who manages $25 million at Angel Broking Ltd. ``The valuations have gone beyond themselves. This should have been the valuation five years later.''

Ambani, who will use the money to fund his $28 billion plan to build capacity, became the second-richest man in India after his Reliance Energy, India's second-biggest utility by market value, quadrupled in value last year.