Suzlon Energy Ltd announced on Friday that its board has approved a plan to raise up to Rs 2,000 crore. The company will look into various financial avenues to garner the proposed amount, as revealed in a BSE filing.
Exploring Multiple Financial Routes
The company will employ different financial instruments to gather the amount, which includes fully paid-up equity shares, convertible bonds, non-convertible debt instruments, and other possible instruments. Additionally, the board has authorized the issuance of instruments with or without detachable warrants, providing the warrant holders with the right to convert or subscribe to the equity shares.
Provision for Warrant Holders
The warrant holders will be offered a choice to convert or subscribe to Suzlon Energy’s equity shares in one or more tranches. However, the total consideration for the same should not exceed Rs 2,000 crore.
Seeking Shareholders’ Approval
The company has disclosed its intention to obtain the approval of its shareholders via a postal ballot for the proposal before moving forward.
In conclusion, Suzlon Energy Ltd is forging ahead to strengthen its financial position, enabling the company to be fully prepared for future projects and plans.
Key Information on Suzlon Energy’s Financial Plan
Feature | Description |
---|---|
Proposed Fundraising Amount | Rs 2,000 crore |
Financial Instruments to be Used | Fully paid-up equity shares, Convertible bonds, Non-convertible debt instruments, Other instruments |
Provision for Warrant Holders | Right to convert or subscribe to equity shares |
Approval Method | Shareholders’ approval via postal ballot |