Suzlon up 5% on lenders approval for CDR

Debt-laden Suzlon Energy, world's fifth largest wind turbine supplier, gained 5 percent in early trade on Friday after the empowered group of Corporate Debt Restructuring (CDR) Cell has given formal approval to its proposal to restructure domestic debt.

A consortium of 19 banks approved the CDR package of Rs 9,500 crore (USD 1.8 billion), the wind turbine maker said in a notice to stock exchanges.

The package includes a two year moratorium on principal and term-debt interest payments; a three percent reduction in interest rates and six months moratorium on working capital interest.

The Group's promoters will also bring in Rs 250 crore equity in a stipulated time frame, of which Rs 62 crore has already been infused, Suzlon said.

At 09:41 hours IST, shares rose 4.71 percent to Rs 18.90 on Bombay Stock Exchange.