Mumbai: Suzlon Group has completed the bond issuance worth US$647 million, through its wholly owned subsidiary – AE Rotor Holding (AERH). The funds raised through this issue will be utilized to refinance the existing US dollar denominated foreign currency debt of the issuer and its subsidiary.
“The unique structure of the deal, which we believe to be the first ever USD credit enhanced bond from India, gives the Group much needed head-room via low-cost funding and a back-ended repayment schedule,” said Kirti Vagadia, Group Head – Finance, Suzlon Group.
The bonds are US dollar-denominated and backed by Stand-By Letter of Credit (SBLC) from State
Bank of India and have a five year bullet maturity.
The company is also in active dialogue with FCCB holders and banks to arrive at a consensual solution in the interest of all stakeholders, which is the last remaining step in its comprehensive liability management exercise.
EPC World News Bureau
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