Suzlon issues securities worth Rs 232 crore to lenders

Wind turbine maker Suzlon Energy has allotted securities worth over Rs 232 crore to its lenders and promoter group entity as part of corporate debt restructuring plan.

 

The company has issued shares worth over Rs 129 crore to its lenders apart from allottment of compulsorily convertible debentures valued at Rs 103 crore.

 

Suzlon Energy would issue more than 7.01 crore shares at a price of Rs 18.51 per piece to lenders as per Corporate Debt Restructuring (CDR) Package, it said in a regulatory filing today.

 

These securities, having a face value of Rs 2 each, would have a lock-in period of one year from the date of allotment.

 

Besides, Suzlon would allot 203 compulsorily convertible debentures (CCDs), each having a face value of Rs 1 crore, to promoter group entities.

 

Out of them, 103 debentures would be issued to one of the promoter group entities "in consideration of the conversion of promoter contribution of Rs 103 crore (CDR CCDs) brought in terms of the CDR package".

 

These debentures would have a lock-in period of one year.

 

According to the filing, 100 such debentures would be given on preferential basis to one of the promoter group entities in consideration of the conversion of promoter unsecured loan of Rs 100 crore but this would not be part of CDR plan.

 

For these 100 debentures, the lock-in period would be three years.

 

All the allotments were approved by the company's Securites Issue Committee of its board of directors during their meeting held today.

 

As per another regulatory filing, the Committee today also approved allotment of 18.47 crore shares to promoter group entities upon conversion of 203 CCDs.

 

Suzlon had received nod for restructuring its debt in January this year.

 

Shares of the company climbed nearly 5% to close at Rs 11.29 on the BSE.