Sun Pharma's Dilip Shanghvi to acquire 23% in Suzlon Energy for Rs 1,800 crore

NEW DELHI: The Dilip Shanghvi family, founders of Sun Pharma, will acquire a 23% stake in debt-laden Suzlon Energy with a preferential issue of fresh equity of for Rs 1,800 crore, leaving the Tulsi Tanti family with a 24% stake in the wind turbine maker, the company announced late on Friday.

Suzlon’s promoters, who currently hold 30.94% in the company according to stock exchange data, will retain management control “by virtue of pooling arrangement for voting”, while the Shanghvi family will remain a financial investor, a company statement said.

“We will be making an open offer as per regulatory requirement,” said Sudhir Valia of Dilip Shanghvi Family and Associates. He said the equity investment along with facilitating working capital will help Suzlon bounce back. Shanghvi, India’s second-richest man, said the business was challenging but he reposed confidence in Tanti. “We have strong faith in the leadership of Tulsibhai to achieve this and will continue as financial investors.” He said the investment was in step with the Modi government’s focus on renewable energy.