Suzlon Energy has undergone transformation in the last three-four quarters especially in terms of operational improvement of numbers. In a special episode from CNBC-TV18’s series, Under the Lens, Varinder Bansal finds out what led to the improvement in the company's performance.
Speaking to CNBC-TV18 on the sidelines of the World Economic Forum in Davos Tulsi Tanti, Founder of Suzlon Energy, said the renewables space is vastly growing.
Theresa May coming to India with trade delegates indicates that the country is a place that UK wants to strengthen its bilateral and economic ties, believes Sunil Mittal, chairman of Bharti Enterprises.
Suzlon chief Tulsi Tanti says India is now attracting more FDI, as opposed to largely portfolio investments it was pulling in earlier.
Sajjan Jindal, Chairman & MD, JSW Steel says with iron-ore and mining ordinances, it has become very clear that now it will be through the auction route, through a transparent route. So, I think over the next two years, all these large projects which are mineral based will get sorted out.
State Bank of India chairman Arundhati Bhattacharya feels the Suzlon did the right thing by selling its overseas arm. The company can repay debts, improve its books and take advantage of the government reforms.
Suzlon Energy chairman Tulsi Tanti said the sale of its German subsidiary Senvion, which accounted for half of the group's revenues, would help the residual business grow at a faster pace.
Suzlon today said it will repay domestic term loans worth Rs 5000 crore with the proceeds from the sale. It further said it will use Senvion‘s offshore technology by paying a license fee.
Debt-laden Suzlon Energy, which last month got formal approval from banks to restructure its loans, says it can raise about USD 0.5 billion from selling non-critical assets. However, Kirti Vagadia, its CFO, maintained that there is no plan to sell its German unit REpower, which is among the fastest growing in the industry.
Diwakar Gupta, MD & CFO of State Bank of India informed that they are undertaking road shows to focus on under valuation of public sector banks and to attract foreign institutional investors.
Pratip Chaudhuri, chairman, State Bank of India (SBI), says that the bank is urging KFA to take action on urgent basis and a consortium meeting is scheduled for next week.
As analysts have been slamming the stock for the high debt/equity ratio, Tanti says the company’s net debt to equity ratio stands at 1.65 times. And says, "The company is targeting a debt/equity ratio of 1.4 times by end FY12, and hope to have it at 1 by end FY13."