Suzlon Energy gains on CDR approval from shareholders

MUMBAI: Shares of Suzlon Energy gained momentum in early trade on Monday after the company informed that its shareholders have approved the $1.8-billion corporate debt restructuring package.

The CDR package of Rs 9,500 crore includes a two-year moratorium on principal and term-debt interest payments.

During the course of the two-year moratorium, interest worth Rs 1,500 crore will be converted into equity, the company said. The Pune-headquartered company further said that the package also includes promoters bringing in Rs 250 crore of fresh equity, of which Rs 62 crore was infused last December.

In January, the wind energy major said its lenders, comprising 19 banks led by the SBI, have approved its proposal to rejig Rs 9,500 crore of domestic debt, providing a big relief to the financially-troubled company.

At 10:45 am, the stock was at Rs 13.74, up 2.31 per cent, on the BSE. It touched a high of Rs 13.98 and a low of Rs 13.62 in trade today.