Shares in troubled turbine manufacturer Suzlon fell 10% today after the company said it had defaulted on its loans.
Suzlon shares were trading on the BSE exchange at Rs3.24 at press time down from Rs3.60 at the end of yesterday.
The drop followed an announcement by the company that it had defaulted on loans totalling RS7256.38 crore (€864m) that were due on 19 March 2019.
The lenders are a consortium of 18 banks led by the State Bank of India, as well as the Indian Renewable Energy Development Agency.
The loans are working capital, non-fund based working capital, term loans and standby letters of credit.
In a response to a request from BSE for clarification about share price movements, Suzlon said the debt restructuring process with its lenders is “progressing well” .
It added that the restructuring is a “complex process” and there are still a “few other steps” to complete including approval of the lender group.