Suzlon Energy gains on euro 850 million working capital deal

The stock has rallied 30% in past three trading sessions from Rs 11.25 on April 3, on the Bombay Stock Exchange.

Suzlon Energy is trading higher by 6% to Rs 14.75, extending its 24% rally in past two trading sessions, after the company announced that Senvion, a wholly owned German subsidiary, had tied up euro 850 million in loans.

The agreement, for syndicated working capital facilities for three years, was signed with a consortium of banks headed by Bayern, Commerzbank and Deutsche Bank in late March.

“This move enables Senvion to secure follow-on financing early for the credit facilities of euro 750 million agreed in May 2012, for the period up to August,” Suzlon said in a press release.

The stock opened at Rs 14.75 and touched a high of Rs 14.90 on the BSE. A combined 4.51 million shares changed hands on the counter so far on the BSE and NSE.