Suzlon Energy shares dip 10% on listing of fresh shares

Shares of Suzlon Energy slumped 10 per cent after fresh shares allotted on conversion of foreign currency convertible bonds (FCCBs) of the company began to trade today.
Suzlon's stock tumbled 9.93 per cent to Rs 20.40 -- its lowest trading permissible limit of the day -- on the BSE.
At the NSE, the scrip plunged 9.96 per cent to end at Rs 20.35.
On the volume front, 25.22 lakh shares of the company were traded at the BSE, while more than 92 lakh shares changed hands at the NSE during the day.
Suzlon Energy had allotted 27 crore equity shares of Rs 2 each at a price of Rs 15.46 per share pursuant to conversion of FCCBs of the company.

The new securities of Suzlon Energy are listed and permitted for trading on the exchange with effect from Friday, September 19, 2014, the BSE had said in notice dated yesterday.
"Pursuant to conversion notice received from certain holders of the USD 546,916,000 step-up convertible bonds due July 2019, the Securities Issue Committee of the Board at its meeting held on September 9, 2014 approved allotment of 27,03,85,303 equity shares of Rs 2 each on conversion of 69,409 bonds worth USD 69,409,000, at a conversion price of Rs 15.46," Suzlon had said in a BSE filing on September 9.
FCCB is a type of convertible bond issued in a currency different than the issuer's domestic currency.