Promoters to infuse Rs 800 cr into Inox Wind by subscribing debt

The promoters of the leading wind energy solutions provider Inox Wind will be infusing around Rs 800 crore by subscribing to debt as part of deleveraging.

The debt placement with promoters will be carried out on a private placement basis, the company said in a statement on Tuesday.

The debt issuance will be carried out by two promoter group entities -- Inox Leasing & Finance up to Rs 600 crore and Inox Wind Energy up to Rs 200 crore -- it added.

The board has approved fundraising of up to Rs 800 crore by issuing non-convertible non-cumulative participating redeemable preference shares (NCPRPS) of the face value of Rs 10 each, which constitutes 0.01 per cent of the fully paid-up capital on a private placement basis to the promoters.

The funds raised from the promoters will be used for repayment of high-cost existing debt, Devansh Jain, executive director at the company said, adding the company aims to become a net debt zero company in the near future.

Inox Wind services IPPs, utilities, public sector units and corporate investors, and three manufacturing plants in Gujarat, Himachal and Madhya Pradesh.

While the Ahmedabad plant and Barwani plant manufacture blades and tubular towers, hubs and nacelles are manufactured at the facility at Una plant in Himachal. It also has a facility for hubs and nacelles at Bhuj in Gujarat. It has a total manufacturing capacity of 1,600 mw per annum.