Wind turbine maker Suzlon has defaulted on the payment of the principal amount of ₹1,169 crore ($172 million) due to its Foreign Currency Convertible Bondholders (FCCBs).
In a filing with the exchanges, Suzlon said it has not made the payment of the principal amount, which was due on July 16. The outstanding payment was part of total bond issuance of $546.91 million. “The company is working on a holistic solution for its debt and continues to be in discussions with various stakeholders in relation to its outstanding debt (including the bonds),” Suzlon said in a stock exchange filing.
This default comes at a time when the company is understood to be in talks with Canadian investor Brookfield to sell a majority stake in the cash-strapped renewable energy company, founded by Tulsi Tanti, once a poster boy for the sector.
