The rights issue of Suzlon Energy to raise ₹1,200 crore was oversubscribed 1.8 times on Thursday, the closing day.

The company offered 240 crore partly paid-up equity shares on rights basis to the eligible equity shareholders on October 11. The issue resulted in subscription of 435.46 crore shares between October 11 and 20.

The issue was priced at ₹5 per rights equity share including a premium of ₹3 per share aggregating up to ₹1,200 crore. Eligible equity shareholders were offered the rights issue in the ratio of 5 rights equity shares for every 21 fully paid-up equity shares held.

The funds raised via rights issue are in multiple calls. The first call at the time of application is ₹600 crore, which will be used for repayment or pre-payment of a portion of certain outstanding borrowings availed by the company and its subsidiaries.

The allotment and listing formalities of the new shares on the BSE and NSE is expected to be completed by the first week of next month.