By 2017, Suzlon might quit debt restructuring
- Date : 09/16/2016 04:40 pm
- @Author :Admin RE-PORT
Suzlon Energy Limited, India's home grown renewable energy giant which was once the fifth largest supplier of wind turbines in the world, has started to analyse the fundamental reasons for its debt crisis that it is undergoing currently. Seeing that, it has taken a firm decision to actually exit the process of corporate debt restructuring by March, next year.
German wind energy firm RePower which was renamed to Senvion Co., sold around $1.56 billion worth of wind energy to Suzlon in the year 2007, which turned out to be a costly decision taken as by the year 2008’s global financial crisis, the demand for wind turbines itself got affected. The debt taken to buy such an enormous amount of wind energy actually backfired as it further lead to India’s biggest default in the foreign currency convertible debt in the year 2012.
“Suzlon has steadily rebuilt its business by focusing on its domestic business, helped by a strong push by Prime Minister Narendra Modi’s government towards renewable energy” said Chairman Tulsi Tanti.
Suzlon, currently contributes upto 9.5 Gega-watts of solar energy and plans to add over 15 Gegawatts of it by the next 5 years.
In a recent interview with Reuters, Tanti said that Suzlon is going to be the fastest company to come out of Corporate Debt Restructuring (CDR).