Shares of Suzlon Energy on Monday surged as much as 19.98 per cent to hit the upper circuit, at Rs 10.57. The stock has been again locked in the upper band during afternoon deals after slipping from its day’s high in late morning trade.
Suzlon has been on the upward move for the past few days. In an exchange filing today, the company said, “SBICAP Trustee has recently reported the creation of encumbrance over the shares held by the Promoters in the company in favour of SBICAP Trustee in terms of Regulation 29(2) of Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Please note that inadvertently; SBICAP Trustee had mentioned the name of ‘Adani Green Energy Limited’ as the ‘Target Company’ in its reporting, instead of ‘Suzlon Energy Limited.’ The said error has since been rectified by SBICAP Trustee.”
The market capitalisation (m-cap) of Suzlon rose to Rs 10,346.84 crore on BSE. A total of 1264.90 lakh shares of the firm changed hands amounting to a turnover of Rs 131.14 crore.
It further stated, “In the context, we wish to clarify that encumbrance has been created by the Promoters of the Company in favour of SBICAP Trustee only for securing the obligations of the STG towards REC led consortium and not in anybody else favour nor for any other purpose. It is further clarified that there is no existing or new pledge by the Promoters in favour of Adani Green Energy Limited.”
SBICAP Trustee is acting as trustees for the benefit of REC led consortium (comprising REC Limited and Indian Renewable Energy Development Agency Limited), who have financed the Company and its certain specified subsidiaries (“STG” — Suzlon The Group), the company added.
Meanwhile, Suzlon posted a multi-fold rise in its net profit, at Rs 2,432.55 crore, in the June quarter compared to the year-ago period, helped by exceptional gains. The consolidated net profit of the company was Rs 3.64 crore in the quarter that ended June 30, 2021.
The total income of the renewable energy solutions provider rose to Rs 1,383.47 crore in the quarter from Rs 1,148.61 crore a year ago.