SE Forge Limited (SE Forge), a unit of Suzlon Energy Limited, has raised equity investment of Rs 400 crore from IDFC Private Equity (IDFC PE), one of the leading private equity funds of the country.

Under the arrangement, SE Forge has sold 17.1% stake to IDFC PE. However, Suzlon will continue to hold the remaining stake in SE Forge.

SE Forge is presently setting up one of the largest foundry and forging capacities in the world to cater to the growing wind energy sector. The company has established two facilities - a 120,000 MT foundry unit in Coimbatore and a 42,000 rings p.a. ring-rolling forging facility in Vadodara.

The company proposes to use the equity investment for funding of its green field capacities. The latest move planned by SE Forge to establish a separate and independent identity of SE Forge will help unlock the value for investors.

According to official sources, the company wants to emerge as a dominant player in the components sector to cater to the wind industry and Suzlon’s requirements.
YES BANK was the sole advisor to SE Forge for this deal.