Suzlon Energy declines after defaults on bond payments

Suzlon Energy declined 3.64% to Rs 4.50 at 11:29 IST on the BSE after the company said it has failed to make a payment of principal amount of $172 million for outstanding bonds, due in July.

The announcement was made after market hours, yesterday, 16 July 2019.

Meanwhile, the S&P BSE Sensex was up by 137.83 points or 0.35% to 39,268.88.

On the BSE, 13.68 lakh shares were traded in the counter so far compared with average daily volumes of 18.23 lakh shares in the past two weeks. The stock had hit a high of Rs 4.6 and a low of Rs 4.26 so far during the day. The stock hit a 52-week high of Rs 8.69 on 25 July 2018 and a 52-week low of Rs 2.7 on 5 February 2019.

Suzlon Energy reported that it has not made the payment of the principal amount of the outstanding bonds worth $172 million which was due on 16 July 2019. The company further stated that it is working on holistic solution for its debt and continues to be in discussions with various stakeholders in relation to its outstanding debt.

Suzlon Energy extended losses and fell for fourth consecutive trading session since Thursday, 11 July 2019. The stock has fallen 9.8% in four trading days to Rs 4.5.

On a consolidated basis, the company reported a net loss of Rs 292.6 crore in Q4 March 2019 over a net loss of Rs 466.20 in Q4 March 2018. Net sales declined 34.4 to Rs 1421.19 crore in Q4 March 2019 over Q4 March 2018.

Suzlon Energy is India's largest renewable energy solutions provider with presence in 18 countries across six continents. The company is engaged in the business of design, development, manufacturing and supply of wind turbine generators.

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