Suzlon Energy tanks 40% in seven days after listing of fresh shares

Suzlon Energy is locked in lower circuit for seven straight trading sessions, down 5% at Rs 13.60 on BSE, after fresh equity shares following the conversion of the company's foreign currency convertible bonds (FCCBs) began to trade from September 19, 2014.

Since then, shares of the country’s largest wind power company dipped 40% from Rs 22.60 on September 18.

Suzlon Energy had issued 270 million equity shares at Rs 15.46 per share to FCCB holders under a restructuring arrangement.

FCCB is a type of convertible bond issued in a currency different than the issuer’s domestic currency.

At 1000 hours, around one million shares changed hands and there are pending sell orders for 114 million shares on NSE and BSE.