IDFC PE invests Rs.4 bn in Suzlon subsidiary

September 29th, 2008 - 8:54 pm ICT by IANS  

New Delhi, Sep 29 (IANS) IDFC Private Equity has picked up 17 percent stake in SE Forge Ltd, a subsidiary of Suzlon Energy Ltd (SEL), for Rs.4 billion, the company announced Monday. The fund would be utilised for capacity expansion and operational expenses for two SEL facilities - a 120,000 million tonne foundry in Coimbatore and a 42,000 rings per annum ring-rolling foundry unit in Vadodara.

Both the units are already commissioned and commercial production is expected to start from November 2008.

“There is a demand-supply gap for large casting and forging products globally and an increasing requirement from the wind and other industries for such products,” IDFC Private Equity (IDFC PE) president and chief executive director Luis Miranda said.

“The investment compliments the company’s large portfolio in the infrastructure sector. This is our first investment from Fund III and is our largest investment to date,” Miranda said.

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