September 18, 2012
Suzlon Group: October FCCBs update
- Bondholders have been requested for a four month extension of October FCCBs to allow the company to close various financing measures and drive alignment between al stakeholders on allocation of cash resources
- Company engaging constructively with banks and bondholders after the successful redemption of June FCCBs
Pune: Suzlon Group, the worlds fifth largest* wind turbine maker, today announced
an update on the companys near term repayment obligations.
A company spokesperson said: We intend to redeem the outstanding October FCCBs
at the end of the proposed four month extension, subject to requisite approvals. We
are actively working on various sources of funding; including from the sale of noncritical
assets, fresh debt, equity-linked and/or equity fund raising through the
domestic and international capital markets, and additional secured leverage at an
international subsidiaries-level by optimally re-balancing our debt across various
assets.
We have sought this extension in order to have adequate time to complete this
exercise, and meet the redemption obligations in complete alignment with all our
stakeholders. We believe these initiatives will enable us to optimally allocate
resources between our business requirements and debt obligations in a manner that
will allow us to obtain relevant approvals from our senior secured lenders. With these
measures we remain fully confident of meeting our obligations and preserving value
for all our stakeholders.
Notes to the Editor:
Suzlon Energy Limited issued US$ 200 mn Zero Coupon Convertible Bonds due
October 2012 and US$ 20.8 mn 7.5% Convertible Bonds due October 2012. The
meetings of the holders of the Bonds are proposed to be held on 10th October 2012.
