MIRA
INFORM REPORT
|
Report Date : |
23.05.2012 |
IDENTIFICATION DETAILS
|
Name : |
SUZLON ENERGY LIMITED |
|
|
|
|
Registered
Office : |
Suzlon 5, Shrimali Society, Near Shri Krishna Complex, Navrangpura,
Ahmedabad-380009, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
10.04.1995 |
|
|
|
|
Com. Reg. No.: |
04-025447 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 3554.700
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L40100GJ1995PLC025447 |
|
|
|
|
IEC No.: |
2495002021 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
AHMS03088B |
|
|
|
|
Legal Form : |
Public Limited Liability Company. The Company’s shares are listed on the Stock
Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturer, Importer and Exporter of Wind Turbines and Generators
and it’s Parts. |
|
|
|
|
No. of Employees
: |
13000 [Approximately] |
RATING & COMMENTS
|
MIRA’s Rating : |
B (27) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 270000000 |
|
|
|
|
Status : |
Moderate |
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|
|
|
Payment Behaviour : |
Slow |
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|
|
|
Litigation : |
Clear |
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|
|
|
Comments : |
Subject is an established company having moderate track. Profitability
of the company is under severe pressure. However, trade relations are reported
as fair. Business is active. Payments to their various suppliers in The company can be considered for business dealings on a secured trade
terms and conditions, initially. |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
|
A1 |
A1 |
|
|
|
|
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office : |
Suzlon 5, Shrimali Society, Near Shri Krishna Complex, Navrangpura,
Ahmedabad-380009, |
|
Tel. No.: |
91-79-26471100 |
|
Fax No.: |
91-79-26565540 |
|
E-Mail : |
|
|
Website : |
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|
|
Corporate / Branch Office : |
One Earth, |
|
Tel. No.: |
91-20-61356135 / 67022000 |
|
Fax No.: |
91-20-67022100 / 4012 2200 |
|
E-Mail : |
|
|
|
|
|
Factory : |
Survey No. 588, Village: Padhar, Near Bhuj Kutch, |
|
Tel No.: |
91-2832-229028 |
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|
|
|
Branch Office : |
Also Located At:
|
|
|
|
|
Overseas Branch Office: |
Located At:
|
DIRECTORS
As on 27.09.2011
|
Name : |
Mr. Tulsi R.
Tanti |
|
Designation : |
Chairman and
Managing Director |
|
|
|
|
Name : |
Mr. Vinod R. Tanti |
|
Designation : |
Executive Director |
|
|
|
|
Name : |
Mr. Girish Tanti |
|
Designation : |
Non-Executive Directpr |
|
|
|
|
Name : |
Mr. Ashish Dhawan |
|
Designation : |
Independent Director |
|
|
|
|
Name : |
Mr. Ajay Relan |
|
Designation : |
Independent Director |
|
|
|
|
Name : |
Mr. V. Raghuraman |
|
Designation : |
Independent Director |
|
|
|
|
Name : |
Ms. Mythili Balsubramanian |
|
Designation : |
Independent Director |
|
|
|
|
Name : |
Mr. Rajiv Ranjan Jha |
|
Designation : |
Independent Director |
|
|
|
|
Name : |
Mr. Pradip Kumar Khaitan |
|
Designation : |
Non-Executive Director |
KEY EXECUTIVES
|
Name : |
Mr. Hemal A. Kanuga |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2012
|
Category of Shareholder |
Total No. of
Shares |
Percentage of
Holding |
|
(A)
Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
658,839,000 |
37.07 |
|
|
278,902,588 |
15.69 |
|
|
937,741,588 |
52.76 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
937,741,588 |
52.76 |
|
(B)
Public Shareholding |
|
|
|
|
|
|
|
|
40,472,540 |
2.28 |
|
|
10,196,216 |
0.57 |
|
|
13,935,731 |
0.78 |
|
|
184,920,875 |
10.40 |
|
|
249,525,364 |
14.04 |
|
|
|
|
|
|
11,599,569 |
6.50 |
|
|
|
|
|
|
370,035,287 |
20.82 |
|
|
69,621,820 |
3.92 |
|
|
31,646,741 |
1.78 |
|
|
24,567,981 |
1.38 |
|
|
57,000 |
-- |
|
|
6,887,985 |
0.39 |
|
|
133,775 |
0.01 |
|
|
586,926,299 |
33.02 |
|
Total
Public shareholding (B) |
836,451,663 |
47.06 |
|
Total
(A)+(B) |
1,774,170,369 |
99.82 |
|
(C)
Shares held by Custodians and against which Depository Receipts have been
issued |
|
|
|
|
-- |
-- |
|
|
3,172,396 |
0.18 |
|
|
3,172,396 |
0.18 |
|
Total
(A)+(B)+(C) |
1,777,365,647 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs. 0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacturer, Importer and Exporter of Wind Turbines and Generators
and it’s Parts. |
||||
|
|
|
||||
|
Products / Services : |
·
Wind
Energy, Solar Energy System and Assembling ·
Operation
and Maintenance Contract ·
Electricity
Generators
|
PRODUCTION STATUS (As
on 31.03.2011)
|
Particulars |
Unit
Produced |
|
|
|
(in Nos.) |
(in MW’s) |
|
Wind Turbine
Generators Upto 1 MW |
89 |
53.40 |
|
Wind Turbine
Generators Above 1MW and Upto 2 MW |
435 |
625.75 |
|
Wind Turbine
Generators Above 2 MW |
228 |
478.80 |
|
Total |
752 |
1157.95 |
GENERAL INFORMATION
|
No. of Employees : |
13000 [Approximately] |
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Bankers : |
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Facilities : |
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Financial Institutions : |
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|
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|
Banking
Relations : |
-- |
|
|
|
|
Auditor 1 : |
|
|
Name : |
SNK and Company Chartered Accountants |
|
Address : |
E-2-B, The |
|
|
|
|
Auditor 2 : |
|
|
Name : |
S.R. Batliboi and Company Chartered Accountants |
|
Address : |
C-401, 4th Floor, |
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|
|
|
|
|
|
Associates : |
Hansen Transmission International NV |
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|
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Subsidiaries : |
|
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
3500000000 |
Equity Shares |
Rs. 2/- each |
Rs. 7000.000 Millions |
|
|
|
|
|
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1796297624 |
Equity Shares |
Rs. 2/- each |
Rs. 3592.600
Millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1777365647 |
Equity Shares |
Rs. 2/- each |
Rs. 3554.700
Millions |
|
|
|
|
|
Notes:
- Of the above equity shares,
1,259,276,500 shares of Rs. 2/- each were allotted as fully paid onus shares by utilization of Rs.
1740.400 Millions from general reserve, Rs. 10.300 Millions from capital
redemption reserve and Rs. 768.000 Millions from securities premium
account
- Of the above equity shares 58,400,000
equity shares of Rs. 2 each were issued by way of Global Depository
Receipts (GDR)
- Of the above equity shares 31,992,582 equity
shares of Rs. 2 each are allotted as fully paid up for consideration other
than cash
- Outstanding Employee stock options
exercisable into 5,679,945 equity shares of Rs. 2/- each fully paid
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
3554.700 |
3113.500 |
2996.600 |
|
|
2] Shares Application Moneys |
0.000 |
0.400 |
|
|
|
3]Employee stock options outstanding |
204.300 |
156.800 |
|
|
|
4] Reserves & Surplus |
64185.800 |
52772.400 |
61774.100 |
|
|
5] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
67944.800 |
56043.100 |
65803.200 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
43957.400 |
38911.600 |
40062.300 |
|
|
2] Unsecured Loans |
22815.900 |
37100.600 |
33232.500 |
|
|
TOTAL BORROWING |
66773.300 |
76012.200 |
73294.800 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
134718.100 |
132055.300 |
139098.000 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
8631.700 |
9171.600 |
5515.000 |
|
|
Capital work-in-progress |
381.500 |
103.800 |
2869.700 |
|
|
|
|
|
|
|
|
INVESTMENT |
78450.700 |
75926.000 |
71278.000 |
|
|
DEFERREX TAX ASSETS |
556.400 |
0.000 |
1754.000 |
|
|
Foreign Currency Monetary item transaction
difference account |
0.000 |
0.000 |
3992.600 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
10149.500 |
7978.000 |
13836.200 |
|
|
Sundry Debtors |
22839.000 |
29868.100 |
47451.400 |
|
|
Cash & Bank Balances |
4310.600 |
5992.200 |
2124.000 |
|
|
Other Current Assets |
0.000 |
0.000 |
0.000 |
|
|
Loans & Advances |
49383.900 |
41877.900 |
26987.500 |
|
Total
Current Assets |
86683.000 |
85716.200 |
90399.100 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditor |
12870.000
|
12525.400
|
|
|
|
Other Current Liabilities |
23198.300
|
23893.300
|
|
|
|
Provisions |
3916.900
|
2443.600
|
3692.700
|
|
Total
Current Liabilities |
39985.200
|
38862.300
|
36710.400
|
|
|
Net Current Assets |
46697.800 |
46853.900 |
53688.700 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
134718.100 |
132055.300 |
139098.000 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
43575.500 |
34886.800 |
72355.800 |
|
|
|
Other Income |
3405.100 |
2431.400 |
1773.000 |
|
|
|
TOTAL (A) |
46980.600 |
37318.200 |
74128.800 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of goods sold |
27467.500 |
25174.900 |
|
|
|
|
Operating and other expenses |
11735.000 |
9748.200 |
74197.100 |
|
|
|
Employees remuneration and benefits |
2152.300 |
1810.100 |
|
|
|
|
Exceptional Items |
372.800 |
4390.200 |
|
|
|
|
TOTAL (B) |
41727.600 |
41123.400 |
74197.100 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
5253.000 |
(3805.200) |
(68.300) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
6289.000 |
7319.000 |
4339.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(1036.000) |
(11124.200) |
(4408.000) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
1568.900 |
1262.700 |
991.600 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
(2604.900) |
(12386.900) |
(5399.600) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(748.300) |
(1754.000) |
(706.900) |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
(1856.600) |
(14140.900) |
(4692.700) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
3860.000 |
18000.900 |
22684.400 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
0.000 |
0.000 |
(9.200) |
|
|
BALANCE CARRIED
TO THE B/S |
2003.400 |
3860.000 |
18000.900 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
327.800 |
9903.300 |
NA |
|
|
|
Other Earnings |
1822.900 |
1136.000 |
NA |
|
|
TOTAL EARNINGS |
2150.700 |
11039.300 |
NA |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
17448.100 |
10326.200 |
NA |
|
|
|
Stores & Spares |
9.600 |
4.900 |
NA |
|
|
|
Capital Goods |
606.600 |
968.100 |
NA |
|
|
TOTAL IMPORTS |
18064.300 |
11299.200 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
(1.09) |
(9.19) |
NA |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 (1st
Quarter) |
30.09.2011 (2nd Quarter) |
31.12.2011 (3rd
Quarter) |
|
Type |
|
|
|
|
Sales Turnover |
11569.100 |
19435.700 |
14355.700 |
|
Total Expenditure |
9353.800 |
17953.100 |
15997.600 |
|
PBIDT (Excl
OI) |
2215.300 |
1482.600 |
(1641.900) |
|
Other Income |
799.100 |
858.4000 |
935.300 |
|
Operating
Profit |
3014.400 |
2341.000 |
(706.600) |
|
Interest |
1572.300 |
2078.100 |
1964.200 |
|
Exceptional
Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
1442.100 |
262.900 |
(2670.800) |
|
Depreciation |
341.400 |
456.800 |
474.900 |
|
Profit
Before Tax |
1100.700 |
(193.900) |
(3145.700) |
|
Tax |
0.000 |
0.000 |
0.000 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Reported PAT |
1100.700 |
(193.900) |
(3145.700) |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
1100.700 |
(193.900) |
(3145.700) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
(3.95)
|
(37.89) |
(6.33) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(0.06)
|
(35.50) |
(7.46) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(2.73)
|
(13.05) |
(5.63) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(3.83)
|
(22.10) |
(8.21) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.57
|
2.05 |
1.67 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.17
|
2.21 |
2.46 |
LOCAL AGENCY FURTHER INFORMATION
|
Check list by info
Agents |
Available in Report
(Yes/ No) |
|
Year of Establishment |
Yes |
|
Locality of the Firm |
Yes |
|
Constitution of the Firm |
Yes |
|
Premises details |
No |
|
Type of Business |
Yes |
|
Line of Business |
Yes |
|
Promoter’s Background |
No |
|
No. of Employees |
Yes |
|
Name of Person Contacted |
No |
|
Designation of Contact person |
No |
|
Turnover of Firm for last three years |
Yes |
|
Profitability for last three years |
Yes |
|
Reasons for variation <> 20% |
--------------- |
|
Estimation for coming financial year |
No |
|
Capital in the business |
Yes |
|
Details of sister concerns |
No |
|
Major Suppliers |
No |
|
Major Customers |
No |
|
Payments Terms |
No |
|
Export/ Imports Details (If applicable) |
No |
|
Market Information |
------------ |
|
Litigations that the firm/ Promoters Involved in |
----------------- |
|
Banking details |
Yes |
|
Banking Facility Details |
Yes |
|
Conduct of the Banking Account |
---------------- |
|
Buyer visit details |
----------------- |
|
Financials, if provided |
Yes |
|
Incorporation details is applicable |
Yes |
|
Last Accounts filed at ROC |
Yes |
|
Major Shareholders, if available |
No |
OPERATIONS REVIEW
On a standalone basis, the Company achieved sale of Rs. 43575.500
Millions as against Rs. 34886.800 Millions in the previous year. Net loss after
tax is lower at Rs. 1856.600 Millions as compared to net loss after tax of Rs.
14140.900 Millions in the previous year. Though the volumes and performance
improved compared to previous year, the costs could not be recovered fully as
recessionary trends continue to persist in Europe and the
Changes in Paid-up
Share Capital
The Company allotted 8,000 equity shares of Rs. 2/- each at a premium of
Rs. 49/- per equity share i.e. at an issue price of Rs. 51/- per share pursuant
to exercise of stock options by the eligible employees under the Employee Stock
Option Plan-2005. Further, the Company allotted 18, 86, 33,322 equity shares of
Rs. 2/- each at a premium of Rs. 61/- per equity share i.e. at an issue price
of Rs. 63/- per equity share on rights basis to the existing equity
shareholders of the Company in the ratio of 2 equity shares for every 15 fully
paid-up equity shares held by the existing equity shareholders on the record
date i.e. June 10, 2010 in terms of Letter of Offer dated May 31, 2010.
Further, in terms of the Shareholders’ Agreement and Share Subscription
Agreement inter alia entered into between the Company and IDFC Private Equity
Fund III (“IDFCPE”), the Company allotted 3,19,92,582 equity shares of Rs. 2/-
each to IDFCPE on November 16, 2010 at a premium of Rs. 58/- per equity share
i.e. at an issue price of Rs. 60/- per share for a consideration other than
cash i.e. as purchase consideration for purchase of 4,12,54,125 equity shares
of Rs. 10/- each held by the said IDFCPE in SE Forge Limited, a subsidiary of
the Company. As on date, the Authorised Share Capital of the Company is Rs.
7000.000 Millions divided into 350,00,00,000 equity shares of Rs. 2/- each and
the paid-up capital of the Company is Rs. 3554.731 Millions divided into
177,73,65,647 equity shares of Rs. 2/- each.
CHANGES DURING THE YEAR
The name of Einundzwanzigste
Vittorio Verwaltungs GmbH was changed to REpower Systems GmbH.
Updates on REpower
The Company
through
Updates on Hansen
The Company
presently holds 26.06% in Hansen Transmissions International NV (‘Hansen’).
Post March 31, 2011, AERH has signed an irrevocable undertaking in favour of ZF
Friedrichshafen AG (‘ZF’) to sell its entire equity interest in Hansen i.e.
26.06% pursuant to cash offer to be made by ZF International BV (“ZF Bidco”), a
wholly owned subsidiary of ZF, for the entire issued and to be issued share
capital of Hansen at 66 pence per ordinary share which will aggregate to 115
million GBP (USD 187 million). AERH’s obligation to accept the Offer under the
Irrevocable Undertaking will lapse in certain circumstances, including if a
firm intention to make an offer for Hansen’s shares is made by a third party
for a consideration that is at least 12.5 per cent higher than consideration
offered under the Offer or if the Offer lapses or is withdrawn.
Updates on Amalgamation and Demerger
During the year, a
Petition under Section 391 to 394 read with Section 78 and 100 to 103 of the
Companies Act, 1956 has been filed by the Company, Suzlon Towers and Structures
Limited (STSL) and Suzlon Gujarat Wind Park Limited (SGWPL) with the Honourable
High Court of Gujarat at Ahmedabad and by Suzlon Infrastructure Services
Limited (SISL) and Suzlon Engitech Limited (SENL) with the Honourable High
Court of Judicature at Bombay for sanctioning the Composite Scheme of
Arrangement and Restructuring (De-merger and Amalgamation) between STSL, SISL,
SGWPL, SENL, the wholly owned subsidiaries of the Company and the Company (SEL)
for De-merger and Transfer of Power Generation Division of STSL to SENL,
De-merger of Project Execution Division of SISL to SGWPL, Amalgamation of STSL
(after the above referred demerger) with the Company and Amalgamation of SISL
(after the above referred de-merger) with the Company. The Appointed Date fixed
for the purpose is April 1, 2010.
THE BENEFITS THAT WOULD BE DERIVED FROM
AMALGAMATION AND DEMERGER ARE AS UNDER:
a. Benefits of Demerger to the Resulting Companies
i.e. SENL and SGWPL
i. Power
Generation business requires separate and different skills altogether and hence
demerging it into SENL will help to run it more efficiently.
ii. Project
Execution is part of infrastructure building in which SGWPL is currently
engaged into. The business of erection and commissioning presently undertaken
by SISL, primarily in nature of infrastructure development, requires different
skills and approach to the business for which the company has to select and
train its employees to achieve high performance standards so as to meet the
standards of its large and reputed competitors in the infrastructure space.
With the proposed demerger and transfer of the said division, SGWPL would be
better placed to scale up its skills in the infrastructure business and able to
hire best talent available in the industry.
iii. De-merger
would help in better evaluation of performance of this business.
b. Benefits of Amalgamation to the Transferee
Company i.e. SEL
i. Tower Business:
- The Tower
business requires scaling up in view of the increased domestic market and needs
focused efforts to bring the cost down on a continuous basis with equal emphasis
on the quality side as well. Synergies of Supply Chain Management can be
derived by bringing the Tower business into SEL.
- Better and
efficient material management along with stores management can be achieved,
ensuring on time delivery in full.
- Quick and more
responsive product improvement and R and D on tower can be made possible
through well established and more resourceful set up of SEL. Better
compatibility of tower with each version of nacelle and better use of design
and technical core competence of SEL would be the key benefits accruing as a
result of this merger;
- Better
negotiating powers resulting into competitive sourcing of materials and
services through more active support of well established Supply Chain
Management Team of SEL.
ii. Operation and
Maintenance Business
- Customers will
get more comfort and surety of after sales services for 20 years post
commissioning, which is becoming a key factor to get more business.
- Existing
customers would feel more convinced from the fact that the equipment supplier
itself is taking care of the OMS part. Long term visibility will be provided to
large customers by providing OMS services through equipment supplier (SEL) only
and thereby improving chances of availing more business from Utilities, Multi
National Companies and other big corporate customers.
- Availability of
critical components from third party gets guaranteed for OMS.
- With Indian
business profile picking up and with the changing scenario, customers expect
OMS Service provider to have a stronger Balance Sheet. SEL is better placed
than SISL.
- Regular and
online feedback from OMS Team provides enormous help in improving and upgrading
the overall quality of its equipments, which would be possible with this
amalgamation.
- Better working
capital management through maintenance of common stock of spares for OMS as
well as for regular production and also better Machine Availability of WTGs
resulting into higher customer satisfaction.
iii. The proposed
amalgamation will enhance the bargaining power resulting in cost optimization
through economical procurements from common vendors and suppliers.
iv. The proposed
arrangement will consolidate the business activity of all the companies,
thereby resulting into time, transactions and cost optimization and
improvisation of overall operational efficiency and quality.
v. The proposed
arrangement shall improve the efficiency in cash management, organizational
capability from pooling of human capital having skill, talents and vast
experience and thereby increase in competitiveness in the industry.
vi. The proposed
arrangement will create enhanced value for shareholders and allow a focused
strategy in operations, which would be in the best interest of all its
shareholders, creditors and all persons connected with the companies.
MANAGEMENT
DISCUSSION AND ANALYSIS
WIND ENERGY – A
MAJOR CONTRIBUTOR TO ENERGY SUPPLY
With new
installation of 38 GW during the calendar year 2010, worldwide installations of
wind energy generation crossed 197 GW which covers almost 4% of the global
electricity supply. Traditional energy sources such as coal, oil or gas are not
only facing limitation of resources, but they are also causing greenhouse gas
emissions and hence cannot be seen as sustainable energy sources. At the same
time, recent incidents have indicated very clearly that nuclear power, also due
to its big risks and high capex costs, is not a very viable option
economically, socially and environmentally either. Instead, the world has to
look for wind energy, in combination with other renewable energy sources. It is
important to underline that wind energy offers a very broad range of
applications. It is versatile, can serve the needs of rural areas in unserved
areas in developing countries, and cater to energy intensive industries in
industrialized regions and countries. By 2015, total worldwide installation of
wind energy is expected to cross over 442 GW which is almost 2.3 times of the
current installation. This will cover about 7.5% of the global electricity
supply by then.
SECTOR OUTLOOK
The sector outlook
is progressively looking bright for the wind industry as it is exploiting an
inexhaustible resource (i.e. wind) and is amongst the cheapest sources of
renewable energy. Improvement in wind power’s technical effectiveness,
development of larger wind turbines, and improved knowledge of siting,
servicing and maintenance has made wind power a economically viable and
competitive source of energy. The other key drivers include climate change, the
Kyoto Protocol, the industry’s job creation potential and a desire for greater
“security of supply” for energy. Policy support models like Fixed Tariffs for
the “feed –in” of wind powered electricity, Renewable Portfolio Standards,
price premium, energy taxes and other tax related benefits, Investment grants
and Green Certificates, continue to boost development of wind market across the
globe. Wind energy has been accepted as a mainstream renewable technology by
utilities across the world, to meet their enewable portfolio targets as
mandated international and country based targets. During the period 2011-2015,
wind power is expected to grow at an annual growth rate of about 17%. In Asia
strong growth is expected, especially in
SUZLON POSITIONING
This year was an
important one for the Company, marking 15 years of existence and 17 GW
installations worldwide. Subject has achieved over 6 GW of cumulative
installations in
BUSINESS STRATEGY
Subject’s
strategic intent for its business is enumerated as follows:
INCREASED CUSTOMER OUTREACH
Subject operations
are now spread across Asia,
IMPROVING PRODUCT PORTFOLIO
Subject and
REpower have R and D and technology centers in
INTERNAL OPERATIONAL EXCELLENCE PROGRAM
Subject
transformation program christened ACE (Achieving Collective Excellence) started
in June 2009, has brought significant improvements in the areas of
manufacturing, technology, product design, market strategy, leadership and the
like. Turbine availability (uptime) has been consistently exceeding 97 per cent
for its global operating fleet. New products under S9X and 3XM series were
timely launched with strong cross functional collaborations. Margin
improvements were achieved through effective capacity utilisation and value engineering.
Efforts are in place to reduce the deployment of working capital through
improvement in operational efficiencies.
TECHNOLOGY,
RESEARCH AND DEVELOPMENT: GLOBAL LEADER IN WIND TURBINE GENERATORS
The company
continues to expand its technological capability since technology is central to
wind market leadership. The focus is on overall life cycle costs and customers’
return on investment mean continued improvements in reliability, product,
operation and maintenance cost and energy cost reductions. Subject’s Technology
Organisation is a global leader in wind turbine generator research and
development.
TECHNOLOGY
TEAMS
Subject continues
to expand its intellectual property rights (IPR) developing a substantial amount
of new IP and increasing the number of patent families. The Technology
Organisation continued to build capacity during the year at Technical Centers
in
SUZLON
GLOBAL TECHNICAL CENTERS DRIVING INNOVATION AND COST LEADERSHIP
Technology-related
development is carried out in collaboration with the supply chain organisation,
third party suppliers, and with the business units which sell and operate wind
turbines across regions. The Technology Organisation is home to applied
research, product development and technical support. The full spectrum of
expertise is covered, including mechanical design, aerodynamics, material
science, electrical design and software development. In the past year, extra
emphasis has been placed on project management, systems engineering, and
certification. As wind turbine generator development becomes more complex,
additional focus is required on the sub-projects which produce enhancements or
new products. The Department continues to raise the standard for the level of
coordination within and across these sub-teams. This requires increased
expertise in project management. In addition, the array of internal interfaces
and sub-system interactions grows in complexity. For this reason, more formal
systems and engineering practices are being used to ensure optimum WTG
performance and reliability. Third party WTG certification becomes increasingly
important for their customers and their financiers. The Technology Organisation
has expanded its capacity, strengthened internal processes and instituted
formal management reviews with the key certifying agencies. Safety guidelines
that are an integral part of the Technology Organisation curriculum are
followed to the letter. The health and safety record remains exemplary.
TIGHTER
COLLABORATION WITH RETC
Research work by
RETC (Renewable Energy Technical Centre) – a Subject / REpower joint venture,
is being integrated with WTG product development teams. RETC is active in basic
research, training, innovation, and development of superior technical
processes.
S9X PRODUCT
DEVELOPMENT
The S9X
development during 2010-11 has been an excellent example of fully integrated,
cross-functional collaboration across all parts of Subject. The various
technical centers, supply chain and the regional offices have worked together.
The S95 and S97 models have been built on the proven S88 platform which has a
fleet-wide availability (up-time) of better than 97 per cent worldwide – in all
weather conditions, voltage and grid requirements. The S95 2.1 MW turbine has
been optimized for Wind Class IIa and introduces DFIG (Doubly Fed Induction
Generation), third generation rotor blade design and an array of other advances
over the S88 2.1 MW turbine. The S97 2.1 MW turbine is similar to the S95 2.1
MWturbine and has been optimized for Wind Class IIIa. These products deliver 14 - 19 per cent
additional energy yield and offer improved ease of operation, transport,
installation and commissioning, and improved serviceability. Customers benefit
from improved cost of energy and return on investment. During 2010-11, REpower
commenced two new series 3.XM variants. The series includes two different
turbine types. The turbines can also be deployed optimally in lower wind speed
areas and in hilly or forested terrains. A new MM series wind turbine was
introduced by REpower. The turbines, the REpower MM100, are specially adapted
for the North American market. The product is suitable for low wind speeds, and
will enhance output. 5M and 6M onshore / offshore wind turbines were also added
to the turbine portfolio in the large turbine segment. With rated output of
5,075 kilowatts and rotor diameter of 126.5 meters, the 5M is one of the
largest and best performing wind turbines. With rated output of 6.15 MW, the 6M
turbines are the technological successor to the5Maswell as being suited for use
in deep waters.
MANUFACTURING AND
SUPPLY CHAIN MANAGEMENT (SCM): WORLD CLASS MANUFACTURING IN THE
Supply Chain Management
(SCM) is the largest business vertical in Subject and supports the
manufacturing of parts for wind turbine generators (WTG). It operates
world-class manufacturing plants in
Unaudited Standalone Financial Results for the Quarter
Ended 31.12.2011
(Rs. In Millions)
|
Particulars |
Quarter Ended |
Nine
Mouths Ended |
|
|
|
31.12.2011 (Unaudited) |
30.06.2011 (Unaudited) |
31.12.2011 (Unaudited) |
|
1. Income from operation |
14355.000 |
19385.300 |
48422.700 |
|
2. Other Operating Income |
0.700 |
50.400 |
59.400 |
|
Total Income
(1+2) |
14355.700 |
19435.700 |
48482.100 |
|
Expenditure |
|
|
|
|
1. (Increase)/decrease in Stock in Trade |
(1024.400) |
(305.500) |
(627.000) |
|
2. Consumption of Raw Materials(Including project bought outs) |
10648.000 |
10358.700 |
27540.800 |
|
3. Purchase of traded goods |
384.200 |
1787.600 |
3865.000 |
|
4. Employees Cost |
783.700 |
954.500 |
2554.600 |
|
5. Depreciation |
474.900 |
456.800 |
1340.000 |
|
6. Foreign exchange loss / gain |
1995.400 |
1640.000 |
3642.800 |
|
7. Other Expenditure |
3210.700 |
3517.800 |
9070.600 |
|
Total Expenditure |
16472.500 |
184709.900 |
47386.800 |
|
Profit / (Loss) From Operations before other Income Interest and Exceptional Items |
(2116.800) |
1025.800 |
1095.300 |
|
Other Income |
935.300 |
858.400 |
2618.400 |
|
Profit/(Loss) before Interest and Exceptional items |
(1181.500) |
1884.200 |
3713.700 |
|
Interest |
1694.200 |
2078.100 |
5675.000 |
|
Profit / (Loss) after interest before Exceptional items |
(3145.700) |
(193.900) |
(1961.300) |
|
Exceptional Items |
-- |
-- |
-- |
|
Profit / (Loss) From
Ordinary activities before Tax |
(3145.700) |
(193.900) |
(1961.300) |
|
Tax Expenses |
-- |
-- |
-- |
|
Net Profit/(Loss) From Ordinary activities after Tax |
(3145.700) |
(193.900) |
(1961.300) |
|
Extraordinary Items |
-- |
-- |
-- |
|
Net Profit/(Loss) for the period |
(3145.700) |
(193.900) |
(1961.300) |
|
Paid Up Equity Share Capital ( Face Value of the share
Rs.2/- each ) |
3554.700 |
3554.700 |
3554.700 |
|
Reserves (Excluding Revaluation Reserves) |
-- |
-- |
-- |
|
Earning / loss per
share |
|
|
|
|
-Basic |
(1.77) |
(0.11) |
(1.10) |
|
-Diluted |
(1.77) |
(0.11) |
(1.10) |
|
Public Share
Holding |
|
|
|
|
- Number of Shares |
839,624,059 |
802,624,059 |
839,624,059 |
|
- Percentage of shareholding |
47.24% |
45.16% |
47.24% |
|
Promoters and Promoter group share holding |
|
|
|
|
a) Pledged / Encumbered |
|
|
|
|
- Number of Shares |
884,010,964 |
676,535,964 |
884,010,964 |
|
- Percentage of share (as a % of the total shareholding of promoter and promoter group) |
94.27% |
69.41% |
94.27% |
|
- Percentage of shares(as a % of the total share capital of the company) |
49.74% |
38.06% |
49.74% |
|
b) Non-encumbered |
|
|
|
|
- Number of Shares |
53,730,624 |
298,205,624 |
53,730,624 |
|
- Percentage of Share (as a % of the total shareholding of promoter and promoter group) |
5.73% |
30.84% |
5.73% |
|
- Percentage of Share (as a % of the total share capital of the company) |
3.02% |
16.78% |
3.02% |
SEGMENT WISE REVENUE, RESULTS AND CAPITAL EMPLOYED FOR THE QUARTER
ENDED DECEMBER
31, 2011
(Rs. In Millions)
|
Particulars |
Quarter Ended |
Nine
Mouths Ended |
|
|
|
31.12.2011 (Unaudited) |
30.06.2011 (Unaudited) |
31.12.2011 (Unaudited) |
|
Segment Revenue |
|
|
|
|
A ) Wind Turbine Generator |
49449.500 |
50412.700 |
142795.400 |
|
B ) Foundry and Forging |
451.400 |
1019.600 |
2617.300 |
|
C ) Others |
75.500 |
167.000 |
356.400 |
|
Total |
49976.400 |
51599.300 |
145769.100 |
|
Less : Inter
segment revenue |
118.500 |
888.300 |
1940.200 |
|
Income from
Operation |
49857.900 |
50711.000 |
143828.900 |
|
Segment Results |
|
|
|
|
Profit / (Loss)
before Depreciation, Interest, Exceptional Items and Tax |
|
|
|
|
A ) Wind Turbine Generator |
3828.00 |
4163.300 |
13331.500 |
|
B ) Foundry and Forging |
55.300 |
229.700 |
322.500 |
|
C ) Others |
59.000 |
138.400 |
282.400 |
|
Total |
3942.300 |
4531.400 |
13936.400 |
|
Less : Depreciation / Amortiasation (including impairment Losses) |
|
|
|
|
A ) Wind Turbine Generator |
1511.400 |
1245.600 |
3938.400 |
|
B ) Foundry and Forging |
128.800 |
187.600 |
501.700 |
|
C ) Others |
63.400 |
46.200 |
154.000 |
|
Profit / (Loss) before Interest, Exceptional Items and Tax |
|
|
|
|
A ) Wind Turbine Generator |
2316.600 |
2917.700 |
9393.100 |
|
B ) Foundry and Forging |
(73.500) |
42.100 |
(179.200) |
|
C ) Others |
(4.400) |
92.200 |
128.400 |
|
Less : Interest |
3575.700 |
3575.500 |
10129.900 |
|
Less : Unallocable Expenditure / (Income) - Net |
418.100 |
424.500 |
1080.200 |
|
Profit / (Loss) before Exceptional Items and Taxes |
(1755.100) |
(948.000) |
(1867.800) |
|
Exceptional Items |
(80.000) |
(2192.400) |
(2272.400) |
|
Profit / (Loss) before Taxes |
(1675.100) |
1244.400 |
404.600 |
|
Capital Employed (Segment assets –
Segment Liabilities) |
|
|
|
|
A ) Wind Turbine Generator |
169582.900 |
157198.900 |
169582.900 |
|
B ) Foundry and Forging |
7889.200 |
7602.400 |
7889.200 |
|
C ) Others |
2150.900 |
2225.000 |
2150.900 |
|
Total |
179623.000 |
167026.300 |
179623.000s |
Notes:
1. The above results nave been reviewed
by the Audit Committee and approved by the Board of Directors at its meeting
held on February 11, 2012. The Statutory Auditors of the Company have carried
out a limited review of the above results for the quarter and nine months ended
December 31, 2011
2 On receiving the approval from Honourable High Court of Gujarat at Ahmedabad and Honourable High Court of Judicature at Bombay respectively, the certified copy of the orders Issued by the said Honourable High Courts having been filed with the concerned offices of the Registrar of Companies, the Composite Scheme of Arrangement and Restructuring (SOA) has become effective w.e.f. October 10, 2011. Thus with the SOA becoming effective from the appointed date I.e. April 01, 2010:
- Power Generation Division of Suzlon Towers And Structures Limited stands de-merged and transferred to Suzlon Engltech Limited,
- Project Execution Division of Suzlon Infrastructure Services Limited stands de-merged and transferred to Suzlon Gujarat Wind Park Limited,
- Suzlon Towers And Structures Limited stands amalgamated with the Company (after the above referred de-merger), and
- Suzlon Infrastructure Services Limited stands amalgamated with the Company (after the above referred de-merger).
In the standalone results, the Impact of the merger has been given w.e.f. April 01, 2011 and due to this the standalone financial results for the quarter and nine months ended December 31, 2011 are to that extent hot comparable with the standalone financial results of the prior periods presented. The audited financial results for the year ended March 31, 2011 disclosed above do not Include any Impact of the merger scheme.
3 On October 6, 2011,
AE-Rotor Holding B.V. {'AERHO, a step-down wholly owned subsidiary of Suzlon
Energy Limited ('Company') has disposed of Its entire stake In Hansen .
Accordingly, the Company has discontinued the accounting of Hansen as an
associate from September 30, 2011 onwards. The provision for diminution In
value of Investment In Associate amounting .to Rs.2192.400 Millions was
reversed during the quarter ended September 30, 2011.
4. Pursuant to the
Squeeze-out of shares of REpower Systems SE CREpower') Initiated by AERH and
the passing of the resolution on September 21, 2011, the Squeeze-out was
officially registered with the commercial registrar In Germany on October 27,
2011, There were no material litigation claims filed against the validity of
the resolution in the courts by the minority shareholders of REpower. Total
compensation of around EUR 62 million was paid to the minority shareholders at
the rate of EUR 142.77 per no-par value share, as determined by the Independent
valuation agents. Some of the former minority shareholders have initiated the
so-called special valuation proceedings In the course of which the courts will
analyse the adequacy of the cash compensation. In case the courts come to the
conclusion that, in their view, the cash compensation Is not adequate. It may
be increased by way of a court ruling. Currently It is unclear whether or not the
courts will confirm the adequacy of the cash compensation or determine an
Increased compensation by way of court ruling. The REpower shares were delisted
on November 9, 2011.
5. The Auditors have given a Matter of Emphasis on the use of going concern assumption for the preparation of these results, In view of the current uncertainty of the manner In which the Company would raise funds for redemption of its foreign currency convertible bonds ('FCCBs'). The Company has certain FCCBs having an aggregate face value of USD 389 Million (Rs. 20660 Millions) due for redemption in June 2012 and October 2012. The redemption value of these FCCBs on respective redemption dates would aggregate to approximately USD 569 Million (Rs. 30210 Millions). In order to meet the redemption obligations the management is actively pursuing various options, and given the several proposed plans of action, Improving order Inflows and overall business momentum, the management is confident that In case the FCCBs are required to be redeemed, It will be able to generate the required funds. Accordingly, the above results have been prepared on the basis that the Company / Group Is a going concern, and no adjustments are considered necessary in the values of the assets and liabilities of the Company / Group.
6 The Indian Wind Energy Association ('InWEA') of which the Company is a member has filed a civil appeal in the Supreme Court against an order of the Appellate Tribunal for Electricity In regard to levy of Infrastructure Development Charges (IDC) by Tamil Nadu State Electricity Board. The auditors have given a Matter of Emphasis on non-provision of the IDC charges aggregating Rs. 648.000 Millions as at December 31, 2011. Based on a legal opinion the Company / InWEA has a strong case In favour.
7 During the last quarter of the financial year 2010-11, the Company concluded that non-alignment of the revenue recognition policy of REpower to that of Suzlon would result in more appropriate presentation of the financial statements and changed the process of consolidation from quarter ended March 31, 2011. Accordingly, the consolidated financial results for the quarter and nine months ended December 31, 2011 are to that extent not comparable. Had the Company applied the same policy in the quarter ended December 31, 2010, the revenues and net loss after tax for the quarter ended December 31, 2010 would have been lower by Rs. 3023.900 Millions and Rs. 212.300 Millions.
8. The Company / Group has,
consequent to the notification Issued by the Ministry of Corporate Affairs on
December 29, 2011 giving an option to the companies to amortise the exchange
differences pertaining to long term foreign currency monetary Items up to March
31, 2020 (from March 31, 2012 earlier), adopted the said option given under
paragraph 46 of Accounting Standard 11. Accordingly, the Company / Group has
revised the amortisation period for such items to the maturity of the long term
foreign currency monetary Items (all before March 31, 2020).
9 The status of Investor complaints received by the Company Is as follows: Pending as on October 1, 2011 - Nil; Received during the quarter 9-; Disposed during the quarter - 9; Pending as on December 31, 2011-Nil,
10. The figures stated above, have been reclassified wherever necessary to confirm with the classification In the financial results for the quarter and nine months ended December 31, 2011.
FIXED ASSETS:
·
·
·
Buildings
·
Plant
and Machinery
·
Wind
research and measuring equipments
·
Computers
and office equipments
·
Furniture
and Fixtures
·
Vehicles
WEBSITE DETAILS
PROFILE
Conceived in 1995
with just 20 people, Suzlon is now a leading wind power company with:
- Over 13,000 people in 32
countries
- Operations across the
- Fully integrated supply
chain with manufacturing facilities in three continents
- Sophisticated Rand D
capabilities in
- Market
leader in
ORGANISATION STRUCTURE
Suzlon is a leading wind power
products and services company with a global footprint. The primary principle
shaping the organisation’s structure across global operations is to infuse
momentum and flexibility in decision-making and execution, with empowered
managers.
Global Presence
Suzlon has seen consistent and
undisputed growth and is now the world's fifth largest wind power group.
Their global team, spread
across five continents, focuses on adoption of the world’s best practices
to fuel continuous growth and propel expansion in high potential markets. At
Suzlon, we combine global experience with local expertise to maximize
technology for the economic value and benefit of their clients.
Suzlon heads its international
sales, marketing and service out of each operation-active country
with an emphasis on local expertise to drive high growth in each market. Suzlon
subsidiaries in
Clients and Projects
In a short span of 13
years, Suzlon has become the world’s fifth largest wind turbine
manufacturer in the world, Suzlon Market share (Combined with Repower) rose to
9.8% thereby making Suzlon one of the leading wind turbine manufacturing groups
in the world. Their wind turbine generators (WTGs) are customized to
local geographies, wind regimes and needs, for installation in a variety of
climates ranging from hot, dry deserts, to humid coasts and near-freezing
plains. With a range of WTGs, ranging in capacity from 600 kW to 2.1 MW, we
have successfully set up projects in some of the most essential wind sites in
the world.
Suzlon has set up of prestigious wind farm projects such as:
Hallet Wind Farms in Australia,
Exelon in the USA, Penamacor in Portugal, Weihai in China and many more in
different parts around the world. Some of thier major clients include AGL
Energy Limited ., TrustPower Limited ., Tecneira, Servtec, DLF Group, Reliance
Group, Aditya Birla Group, Tata Group, British Petroleum, MSPL, John Deere Wind
Energy and Distributed Wind Systems.
COURT CASE AGAINST
SUZLON ENERGY LIMITED
The case in question is being fought in Australian court between Suzlon Energy, an energy company, and a former employee accused of defrauding Suzlon in a shipping scam. Suzlon’s attorneys requested the e-mails as part of its case, claiming the employee wasn’t protected by the American act. However, Microsoft argued that since the e-mails are stolen on an American server by an American company, they fall under that country’s privacy protection laws.
The courts agreed. The U.S. District Court for the Western District of Washington, as well as the Ninth Circuit, ruled in favor of protecting the e-mails. The case is being watched closely in the industry, with Cloud Computing creating questions as to just what is protected content and what isn’t. At one time, courts were arguing that e-mail was not protected under the ECPA while in temporary storage awaiting transit. Since e-mail sometimes passes through several intermediary servers before landing at its final destination, this would have taken away an element of protection. In 2005, the Circuit of Appeals overturned the original decision that they were not protected, causing security experts to breathe a sigh of relief.
While the ECPA protects third-party services from being forced to cough up
member e-mails, courts can still subpoena individuals for copies of their own
e-mails. And it should be stressed that an employee’s work e-mails are not
protected, as your work e-mail is generally seen as belonging to the company,
not the individual employee. E-discovery software is able to uncover e-mails
even after deletion.
One issue where consumer protections are still unclear, however, is Cloud
Computing. Since “the cloud” is generally a server, such as Hotmail, where a
user’s files are stored and accessed directly, protections of the law are still
unclear, complainants say. The ECPA always differentiated between data stored
on a user’s computer and transmitted data, such as e-mail, but with so many
things being transmitted back and forth now, experts feel the act needs to be
updated.
Mobile technology, location-based services, and many other new issues that have
come to light in the past few years have prompted many in the industry to cry
out for an update to the law. But privacy refers to more than just the courts’
rights to subpoena e-mails or files. Consumers want to know their data is safe
from any private eyes, as well as from resale. But the Suzlon Energy Limited V.
Microsoft Corporation case provides consumers and businesses with the knowledge
that courts stand behind protecting any data stored on an American server, no
matter where the user resides.
PRESS RELEASE
18th May, 2012
Suzlon Group: update on FCCB obligations
Advanced stage of raising up to US$ 300 million from new facilities to meet June FCCB obligations
Banks remain aligned and supportive; bondholders are engaging constructively
For procedural reasons, bondholders are being asked for a short-term extension to allow the company to obtain requisite approvals and finalize documentation
Mr. Kirti Vagadia, Chief Financial Officer –
Suzlon Group today announced an update on the company’s near term repayment obligations. He said: “I am very pleased to inform their stakeholders that they are at an advanced stage of raising up to US$ 300 million with their senior secured lenders for the refinancing of their June FCCB obligations. Their banks are aligned and supportive of their initiatives to address near-term obligations and achieving their long-term capital structure objectives. In order to ensure there is adequate time for the necessary requisite approvals and administrative documentation, they have asked their bondholders for an extension of maturity of up to 45 days.
“They continue to work on plans to raise capital at their overseas subsidiary level, as well as their programs to monetize non-critical assets. With this package of measures they remain totally confident of meeting their obligations.”
About Suzlon Group:
The Suzlon Group is ranked as the world’s fifth largest*
wind turbine supplier, in terms of cumulative installed capacity, at the end of
2011. The company’s global spread extends across Asia,
23 May 2012
Suzlon’s 138 MW project for Cennergi amongst preferred
bidders selected by South African Department of Energy
Supply and EPC contract for 66 S97 Suzlon turbines
Largest Project among the selected bids
Cennergi is a joint venture by Exxaro and Tata Power
Pune/Durban: The Republic of South Africa’s Minister for Energy, Dipuo Peters, announced her Department’s selection of the 138 MW AmakhalaEmoyeni Phase 1 wind energy project to be carried out in Eastern Cape, by Suzlon Group, the world’s fifth largest* wind turbine supplier. The project was submitted by Cennergi under the second window of the Request for Bids for the Independent Power Producers Programme .
Cennergi is an equal joint venture between
Cennergi has chosen to use 66 of Suzlon’s S97-2.1 MW turbines for the project. Suzlon will deliver the turbines under a full EPC (engineering, procurement and construction) agreement.
Thomas Garner,
Cennergi CEO said: “Theyhad presented a very high quality bid,
tailor-made for the energy needs of the
Silas Zimu, CEO –
Suzlon South
This project is especially exciting as it shows how a South African Black empowered developer (Cennergi) partnered with a South African Black empowered manufacturer (Suzlon) can ensure that the Government's commitments on wind energy are realized. The project is the largest of the awarded wind projects during the bid.” “This is yet another opportunity to continue in their objective to provide clean and green energy, and also to create many jobs.”
Project construction is expected to commence in the first quarter of 2013.
About Cennergi
Cennergi (Pty) Ltd., is a 50:50 joint venture between South African-based diversified resources company Exxaro Resources Limited (Exxaro) and The Tata Power Company Limited (Tata Power), of India, through its subsidiary Khopoli Investments Limited.
Cennergi is based in
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No available
information exist that suggest that subject or any of its principals have been
formally charged or convicted by a competent governmental authority for any
financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 54.88 |
|
|
1 |
Rs. 86.84 |
|
Euro |
1 |
Rs. 70.20 |
INFORMATION DETAILS
|
Report Prepared
by : |
ACH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
3 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
Yes |
|
--LITIGATION |
YES/NO |
No |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
No |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
No |
|
--EXPORT ACTIVITIES |
YES/NO |
Yes |
|
--AFFILIATION |
YES/NO |
Yes |
|
--LISTED |
YES/NO |
Yes |
|
--OTHER MERIT FACTORS |
YES/NO |
Yes |
|
TOTAL |
|
27 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.