Suzlon said it continues to work on “significant debt reduction” in response to media reports that it may default on bond payments, which are due next month.
The India-based turbine manufacturer is also exploring “various funding options” including a fresh raising of equity and disposal of subsidiaries, according to a filing to the Mumbai Stock Exchange.
“The company has been engaging with various experts, consultants and advisors in this regard,” said the filing.
Suzlon was responding to local reports that it is on course to default on a foreign convertible bond payment of over €150m.
Last month, the company reported debt of Rs11bn for the end of its fiscal year 2019 with a total loss for the 12 months of Rs1,537 crores (€195m).
Shares on Tuesday were up 4.3% in afternoon trading, although the company’s shares slid 25% on Monday after reports that a potential investment by Vestas had passed a deadline with no agreement.
A Vestas spokesman said: “Vestas’ strategy is based on organic growth and as the market leader our focus remains on executing an extraordinarily busy 2019.
“We will give no further comment on such speculation and refer to Suzlon for more clarity on their situation.”
A spokesperson for Suzlon said: “We do not comment on specific discussions with any specific party at this point.
“We shall ensure necessary disclosures at the appropriate time.”