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New Delhi, Apr 4 Wind power major Suzlon Energy, which has little over 95 per cent shareholding in REpower Systems AG, today said it has initiated steps to acquire the remaining stake in the German entity.
Currently, Suzlon through its subsidiary AE-Rotor Holding BV (AERH) directly and indirectly has 95.16 per cent stake in REpower.
In a regulatory filing, Suzlon said it has started the process to acquire the remaining stake in REpower.
Under German laws, a shareholder with 95 per cent stake has the right to “initiate squeeze—out proceedings in respect of minority shareholders“.
“The company, through AERH, provided a notice today to the management board of REpower requesting the conduct of a squeeze—out procedure,” it said.
According to the filing, the management board of REpower must now take certain necessary steps in relation to the squeeze—out procedure.
“This will result in REpower being a wholly—owned subsidiary of the company. The squeeze—out will be subject to additional expenditure, completion of procedural steps and timing requirements as may be required by German laws and regulations,” the filing noted.
Shares of the company rose over 2 per cent to close at Rs 49.65 on the Bombay Stock Exchange.
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