Suzlon promoters sell 6.19 per cent stake

Suzlon promoters sell 6.19 per cent stakeThe promoters of renewable energy major, Suzlon Energy have sold 6.19 per cent stake in the company to raise about Rs 240.40 crore.

The promoters of the company Girishbhai Ranchodbhai Tanti, Tanti Holdings and V R Tanti HUF sold 10.995 crore equity shares on Thursday morning and raised about Rs 240.4 crore. The shares presented about 6.19 per cent of the loss making wind turbine maker. The company indicated that the stake was sold to facilitate a corporate debt restructuring plan backed by the banks.

"Part of the funds would be infused into the company under CDR mechanism and balance funds would be utilised to release pledged shares by repayment of loans taken by promoters," the company had said in its filing with the stock exchanges.

Following the stake sale, the promoter group's holding in the company will be reduced to 44.46 per cent of the paid-up capital. The promoters have said that the funds raised by the stake sale will be used to settle debt of the company. The company is struggling in the market due to a fall in demand for its products amid a slowdown in the global economy. There have been some concerns in the market about the company's ability to redeem its bonds over the previous maturity date.

The shares of the company recovered 17.5 per cent and were trading at Rs 18.85 today after falling yesterday by as much as 34 per cent to a low of Rs 16.05 on Bombay Stock Exchange (BSE).