Suzlon shares bounce back 7pc after clarification on debt

Shares of Suzlon Energy bounced back Wednesday after a massive fall the previous day, surging nearly 7 per cent at close after the company clarified that it was regularly servicing its debt.

The company's shares gained 5.23 per cent to close at Rs 3.82 on the BSE. During the day, it jumped 9.91 per cent to Rs 3.99.

At the NSE, shares surged 6.94 per cent to end at Rs 3.85.

Shares of Suzlon Energy dived over 24 per cent Tuesday amid concerns over its financial position.

"In response to certain media queries, we wish to further clarify that none of the share of the promoters held in the company have been invoked," Suzlon said in a clarification to BSE Tuesday.

"Further, the promoters' shareholding in the company has been pledged for collaterally securing the obligations of the lenders of the company and not towards securing promoters' personal borrowings. And the said pledge too is not mark-to-market," it said.

In a separate clarification to BSE, Suzlon said, "we wish to clarify that the company is regular in servicing its debt obligations including servicing obligations towards banks and others for January 2019."