Follow on Google News News By Tag Industry News * Wind Turbine * More Industries... News By Place Country(s) Industry News
Follow on Google News | Suzlon default FCCB - A blessing in disguise…This is a good development for business. Now the company will be able to focus its resources in creating value in the business instead of paying it to unsecured lenders.
By: SUZLON Even when Suzlon paid the first FCCB in July without any holdbacks there was concern that maybe it would’ve been better to instead put that money back into the business which would’ve created better value. Though the company showed great commitment in paying the bond holders. It is actually good news for Suzlon vendors, employees and customers. Everyone knows that there is great value in the Suzlon business. They also have a great order book. But the business was suffering because of the debt payouts. This will allow the company to put money in the business and honors commitments to employee’s vendors and customers. Suzlon primary lenders and banks are completely aligned with the company and totally support their strategy of Funding business at this time that is the best news. This will result in a stronger business and company in the long run. As long as the company can create value in the business capital structures will work out. The company was right to not pay now and ask for an extension. The bond holders have acted Irresponsibly. End
Account Email Address Account Phone Number Disclaimer Report Abuse
|
|