Suzlon Energy redeems FCCBs of USD 28.8 million

Suzlon Energy has successfully repaid in cash, Foreign Currency Convertible Bonds (FCCBs) worth USD 28.8 million (Rs 1920 million) in principal amount, along with the applicable 8.7 per cent redemption premium.

Suzlon Energy’s FCCB redemption is part of 5 per cent of April 2016 series. The repayment has been made through internal accruals of the company. According to the company’s management, this gives sufficient headroom to meet its operations and growth requirements. Suzlon Energy has focused efforts towards debt reduction, liquidity optimisation and business ramp up, and theses are bearing tremendous results. The company is exhibiting a visible ramp up in its execution volume, order inflow and resultantly the cash flows.

On financial front, Suzlon Energy’s revenue declined by 62 per cent to Rs 1891 crore in Q3FY16 as compared to the same period in previous fiscal year. The company’s EBITDA decreased by 18.4 per cent to Rs 241 crore in Q3FY16 on a yearly basis. Meanwhile, its net loss narrowed down to Rs 113 crore in Q3FY16 as against Rs 6539 crore in Q3FY15.

The share price of Suzlon Energy increased by 0.62 per cent on bourses and closed at Rs 14.58 on April, 14.

Suzlon Group has international presence across 19 countries in Asia, Australia, Europe, Africa and North and South America. Suzlon Energy manufactures and sells Wind Turbine Generators (WTGs) and related components of various capacities. The company operates through three segments viz. sale of WTG; foundry & forging; and others. It has approximately 10 manufacturing facilities in India, China and America. Suzlon Energy’s services range from feasibility studies, front-end engineering design, undertaking construction, installation and commissioning of wind farms, operations and maintenance as well as catering to the customer requirements across the wind energy sector. Its technology products include blade technology, nacelle, tower and foundation, park control and system integration.