Suzlon Energy falls after bondholders reject extension of bond redemption

The company has proposed to extend the redemption of $220.80 million FCCBs due on October 11, 2012 by four months

Sulzon Energy is trading lower 4% to Rs 15.90 after the company said that bondholders have rejected a proposal by the company to extend by four months the redemption of two tranches of foreign currency convertible bonds (FCCBs) totaling $220.8 million due on 11th October 2012.

"I regret to announce today that the bondholders' meetings did not achieve the consensus we were hoping for and the four-month extension sought by us has not been granted," Kirti Vagadia, chief financial officer of the world’s fifth largest wind turbine maker said in a statement on Thursday.

The stock opened at Rs 16.30 and hit a low of Rs 15.70 on the BSE. A combined 5.21 million shares have changed hands on the counter so far on both the exchanges.