Suzlon Energy drops $166 million bond repurchase plan
13 May 2009
Wind power equipment maker Suzlon Energy has dropped plans to repurchase bonds worth $166 million and instead sold 30 million shares of the company, representing a 2 per cent paid-up capital of the company.
"Suzlon Energy today announced the cancellation of the repurchase," the company said in a filing with Bombay Stock Exchange.
Suzlon Energy said the shares were sold by its promoter Tulsi R Tanti, along with the other members of the promoter group.
The company had, on 11 May, announced that it would repurchase $88 million of the bonds issued in June 2007 and $78 million of bonds issued in October 2007.
The aggregate principal amount of the two bonds following cancellation stands at $211 million and $121 million respectively, it said.
Shares of Suzlon Energy were trading at Rs77.90, down 3.65 per cent on the BSE.
The company did not disclose the price at which the shares have been sold and to whom the promoters sold the shares. But, at the ruling price of around Rs78.65 a share post announcement, the promoters would have raised about Rs236 crore.