Shares of Suzlon Energy today surged over 7 per cent amid reports that Sun Pharma’s Dilip Shanghvi will provide as much as Rs. 3,800 crore of security that will help the wind turbine maker in obtaining credits.
Suzlon has revealed it installed and commissioned 168 wind turbines totalling 352.8MW in Brazil over a 16-month period ending in November 2014.
Some 309MW was added in calendar year 2014 and the three projects were located in the high-wind states of Rio Grande do Norte and Ceara, the company said.
The installations were made up of 150 S95 and S97 turbines from Suzlon’s S9X series and 18 of the manufacturer’s workhorse S88, all of which are rated at 2.1MW.
The three clients for the schemes represented banks, financial institutions, funds and EPC and construction companies in Brazil, Suzlon added.
Suzlon chairman Tulsi Tanti said: “We remain focused on high growth and emerging markets and Brazil is a key geography of our growth strategy.”
The three wind farms will contribute to reducing Brazil’s carbon footprint by eliminating some 0.54 million tonnes of CO2 emissions per annum.
Following the buzz, shares of Suzlon jumped 7.32 per cent to Rs. 27.10 on the BSE. On the NSE, it climbed 7.32 per cent to Rs. 27.10.
At 12.02 pm, the stock was trading at Rs. 26.40, up 4.55 per cent on the indices.
Dilip Shanghvi is the founder and managing director of Sun Pharmaceuticals.
As per reports, Dilip Shanghvi will provide as much as Rs. 3,800 crore (USD 610 million) of security for Suzlon Energy Ltd to help the maker of wind turbines fill orders and return to profit.
The security from the Shanghvi family will make it easier for Suzlon to obtain more bank guarantees and letters of credit to ramp up its business, it said.
Meanwhile, earlier this month, Suzlon signed definitive pacts with DSA for equity investment of Rs. 1,800 crore in the company, amounting to 23 per cent stake.
DSA also announced an open offer to acquire 26 per cent stake in Suzlon at Rs. 18 per share aggregating Rs. 2,837 crore.