Suzlon Energy set to win back 50% mkt share in wind power biz
Suzlon Energy (SUEL) is a potential turnaround story in the emerging wind power sector, where it has traditionally been a market leader due to its strong end-to-end EPC and O&M capability. From a position of strength, SUEL has gone through multiple crises over the past five years including debt default. However, it has since taken corrective steps to substantially repair its balance sheet by selling off its German offshore wind arm, Senvion (formerly REpower), for 1 billion euros and issuing fresh equity worth R1,800 crore to Dilip Shanghvi & Associates (DSA) – a promoter for Sun Pharma.
After the financial restructuring and Senvion sell-off, SUEL is now an India pure play set to refocus on new order wins and execution, and well placed to win back 50% market share in the domestic wind equipment market.