May 20 (Bloomberg) -- Suzlon Energy Ltd., the world’s fifth-biggest wind-turbine maker, is in talks to repay investors after defaulting on $209 million of U.S. dollar-denominated convertible bonds in October, according to two people familiar with the matter.
The company, the subject of India’s biggest convertible debt default, may issue notes denominated in the U.S. currency to fund the 2012 repayment, the people said, asking not to be identified because the details are private.
Suzlon, based in the western Indian city of Pune, declined to comment today in an e-mailed response to questions, saying it’s “in a silent period” ahead of a quarterly earnings report due May 30.
Suzlon Energy failed to redeem $175.8 million of zero-coupon notes and $32.8 million of 7.5 percent bonds which fell due Oct. 11, according to data compiled by Bloomberg. Its stock was little changed as of 12:09 p.m. in Mumbai, after rising as much as 3.1 percent to the highest since April 30.
India’s top wind-turbine maker ceded that position in the financial year ended March 31 for the first time in at least a decade, according to data from the Indian Wind Turbine Manufacturers’ Association. Suzlon completed a 95 billion rupee ($1.7 billion) debt restructuring last month, which included issuing shares to its lenders.