Wind turbine maker Suzlon has redeemed in cash the two June series of foreign currency convertible bonds (FCCBs) totally valued at $360 million.
In early June, holders of the bonds had approved the company’s proposal to extend the maturity date by 45 days till July 27.
To facilitate this redemption, in April Suzlon sold a block of wind farms across India, the majority in Tamil Nadu qualifying them as non-core assets, for a total consideration of $40 million. In late June, it entered into an agreement to sell its wholly owned Chinese subsidiary Suzlon Energy Tianjin Ltd to China Power (Tianjin) New Energy Development Company Ltd for a realisation of $60 million.
The remaining finance for the FCCB repayment has been tied up as a dollar denominated loan from a consortium of Indian banks.