Suzlon sells 35.2 pc in Hansen for $370 mn

Wind turbine major Suzlon Energy has sold 35.22 per cent of its stake in Belgian company Hansen Transmissions at a price of 95 pence per depository interest. The sale has fetched Suzlon around 224 million pounds,or $370 million (around Rs 1,727 crore). Debt-laden Suzlon,which holds a 61 per cent stake in Hansen through its Netherlands-based subsidiary AE-Rotor Holding BV,sold the stake in Hansen through a book-building process to private equity investors. Suzlon shares closed 2.52 per cent higher at Rs 75.20 on the Bombay Stock Exchange on Thursday. Hansen shares fell 16 per cent to 97 pence on the London Stock Exchange.

Following the secondary placing,Suzlon-subsidiary AERH continues to own 26.06 per cent of the voting rights in Hansen. There are no board changes in Hansen following the placing.

Suzlon Energy CMD Tulsi R Tanti said: “Our acquisition of Hansen was guided by long-range strategic interests that we see being delivered today. Since the initial investment we have seen enormous value creation in Hansen,the company has expanded around the world,adding manufacturing capacity and jobs.”

In a regulatory filing to the LSE,Hansen said,”In view of the current global economic climate,Suzlon has pro-actively undertaken strategic and financial initiatives to develop a sustainable capital structure. The proposed stake sale would not have any impact on long-term supply arrangements,” it said.