Suzlon sells 10% in Hansen to UK’s Ecofin
Suzlon Energy has sold 10% equity stake in gearbox designer Hansen Transmissions to a London-based investment firm Ecofin to fund growth plans.
By ET Bureau |
MUMBAI: Suzlon Energy has sold 10% equity stake in gearbox designer Hansen Transmissions to a London-based investment firm Ecofin to fund growth plans.
Although, the company didn���t give the financial details of the stake sale, it is estimated that the transaction could be worth around e 77 million.
���The asset sale is in line with the company���s plans to raise funds,��� said a person close to the company. Suzlon has been planning to raise funds to part finance its stake purchase in REpower. The company had in October postponed a Rs 1,800-crore rights issue due to poor market conditions.
The transaction will bring down Suzlon���s stake in Hansen to about 61.28%, while Ecofin will have voting and economic interest of about 11.62%. Suzlon has granted Ecofin the right to nominate one director on Hansen board.
The transaction is also subject to other conditions, a Suzlon���s statement said. Ecofin has entered into an agreement with Suzlon that it won���t dispose shares acquired from the latter till after June 30, 2009. The lock-in is renounceable only in select circumstances.
Although, the company didn���t give the financial details of the stake sale, it is estimated that the transaction could be worth around e 77 million.
���The asset sale is in line with the company���s plans to raise funds,��� said a person close to the company. Suzlon has been planning to raise funds to part finance its stake purchase in REpower. The company had in October postponed a Rs 1,800-crore rights issue due to poor market conditions.
The transaction will bring down Suzlon���s stake in Hansen to about 61.28%, while Ecofin will have voting and economic interest of about 11.62%. Suzlon has granted Ecofin the right to nominate one director on Hansen board.
The transaction is also subject to other conditions, a Suzlon���s statement said. Ecofin has entered into an agreement with Suzlon that it won���t dispose shares acquired from the latter till after June 30, 2009. The lock-in is renounceable only in select circumstances.
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