Suzlon Share Price Hit 20% Upper Circuit
Wind turbine generators manufacturer company – Suzlon shares were hit 20% at ₹10.57 on the BSE in intraday trades on Monday despite strong volume.
After SBICAP Trustee made it clear that Suzlon and not Adani Green Energy, as had been previously reported in a typographical error, an extra equity pledge had been created in Suzlon’s favor, the stock of the wind turbine maker increased by almost 20% and was trapped in the upper circuit.
As a result, 9.92% of the entire equity has now been pledged to the SBICAP Trustee.
According to Regulation 29(2) of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, SBICAP Trustee recently notified the creation of an encumbrance over the shares held by the Promoters in the Company in favor of SBICAP Trustee.
Please take note that, accidentally, the SBICAP Trustee misidentified the “Target Company” in its filing as “Adani Green Energy Limited” rather than “Suzlon Energy Limited.” The aforementioned issue has since been fixed, “Suzlon Energy reported in a filing with the exchange today.
SBICAP Trustee is serving as trustee on behalf of the company’s financiers, the REC-led consortium (made up of REC Limited and the Indian Renewable Energy Development Agency Limited).
Suzlon Energy’s revenue increased by 21% year over year in the first quarter to ₹ 1,378 crore, and its EBITDA increased by 39% to ₹214 crore. A 15.6 percent EBITDA margin was recorded.
The company reported a net profit of ₹ 2,433 crore, which was principally the result of exceptional gain from the exchange of financial instruments for refinancing. At 10 a.m., Suzlon Energy’s share price was quoted at ₹ 10.55.