The country's biggest wind-turbine maker, Suzlon Energy, today said it has agreed to sell a 10% stake in its Belgium arm Hansen to a London-based investment firm for an undisclosed amount.
The company's Netherlands-based wholly-owned subsidiary AE-Rotor Holding has sold 6.70 crore shares representing 10% in Hansen Transmissions International NV to Ecofin, Suzlon said in a filing to the Bombay Stock Exchange.
Post-selloff Suzlon's stake has been reduced to 61.28%, while Ecofin would hold 11.62% in Hansen. However, the financial details of the transaction were not disclosed.
Under the terms of the agreement, Ecofin has agreed not to sell the acquired stake until June 30, 2009, the filing added.
Shares of Suzlon were trading at Rs 67.35, up 1.58% in the morning on the BSE, and Hansen settled at $116.75, up 2.41% on the London Stock Exchange yesterday.
In 2006, Suzlon's subsidiary AE-Rotor Holding BV had acquired Belgium-based EVE Holding NV for 465 million euro. Through this acquisition, Suzlon got indirect 100% ownership of Belgium's Hansen Transmissions International NV, along with its subsidiaries.
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Hansen is engaged in the business of design, development, manufacturing and supply of industrial and wind gear boxes. Hansen, which listed itself on the London Stock Exchange in 2007, had planned to use the issue proceeds to fund expansion of its manufacturing facilities in India and China.
Suzlon has been exploring options to raise money to fund its acquisition of Germany's biggest wind turbine maker REPower after its plans to raise Rs 1,800 crore via a rights issue was suspended.