Suzlon to Cut Operating Costs 20% by June, CFO Vagadia Says
Suzlon Energy Ltd. (SUEL), India’s largest wind-turbine maker that’s undertaken a 95 billion rupee ($1.8 billion) debt-revamp plan, will cut operating costs by 20 percent by June, Chief Financial Officer Kirti Vagadia said.
Suzlon’s owners, who have invested 620 million rupees of the 2.5 billion rupees they had to bring in under the program, plan to invest another 630 million rupees by March, Vagadia said today in a Bloomberg TV interview. The Pune-based company has cut its interest rates by 3 percent and plans to use the funds to expand, he said.
The company’s lenders approved the debt-restructuring plan on Jan. 24. Suzlon on Oct. 11 failed to pay $209 million, the biggest convertible note default by an Indian company.
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