Suzlon Share Price

History of Suzlon Energy

Suzlon Energy Ltd. was incorporated in 1995 by Mr Tulsi Tanti. He was primarily in the textile business when he was introduced to wind energy through a wind power project that he had commissioned for his own textile factory. Suzlon Energy first entered into a technical collaboration agreement in 1995 with a German company named Sudwind GmbH Windkrafttanlagen in order to source the latest, advanced technology for the production of WTGs or wind turbine generators in India. Over time, the company obtained licenses of different forms from multiple companies to produce special components of renewable energy devices. Suzlon has also set up technological development centres in Germany and the Netherlands through some of its wholly-owned subsidiaries. As of September 2023, the company has installed 20+ GW of wind energy in 17 countries and 111+ wind farms. Suzlon also installed India’s tallest wind turbine at 160 meters in FY 2023 so that wind energy output can be maximised in low-wind sites. Suzlon has a long list of domestic subsidiaries for different segments such as Gale Green Urja, SE Forge, etc. and foreign subsidiaries for overseas operations, such as Suzlon Energy A/S, Suzlon Energy Korea Co., etc.

Business Segments

The company introduced the concept of total solutions in wind energy projects. This means in addition to the equipment supply, the company offers associated project execution work such as land acquisition, site development, foundation, and other civil work and O&M services. Currently, Suzlon boasts a long list of global and local clients. It builds wind energy infrastructure for them. Some of the latest top clients of the company include Adani Green, GAIL, Bajaj and the Aditya Birla Group. The list of its clients mostly includes power utilities and electricity producers in both the private and public sectors. Suzlon’s product lines include the S144, S133, and S120 Wind Turbine Generators. However, it also places adequate effort into maintaining and servicing the older models. Sales of new wind turbines and their components cover a large majority of the company's revenues. Geographically, more than 90% of its revenue comes from within India. In FY 2022, the company introduced a 3 MW product series. It is a customisable platform to allow flexibility in site-specific requirements.

Key Personnel of Suzlon Energy

• Tulsi Tanti, Founder

Mr Tanti was one of the richest energy entrepreneurs in the world who turned Suzlon into the largest wind energy company globally. Originally the owner of a small textile company, he had initially brought in some windmills to solve the problem of irregular electricity in his facility. An engineer by profession and training, he had also been the president of the Indian Wind Turbine Manufacturers Association.

• Vinod Tanti, Chairman and MD

He is the brother of the late Mr Tulsi Tanti and is also a founding member of Suzlon Energy. He has over 34 years of experience in managing various key functions at Suzlon. He was also the Chief Operating Officer of Senvion, Germany, in 2012-13, when Senvion was a global leader in wind turbine technology. The functions handled by him in the past include efforts in wind resource assessment, acquisition, product design, supply management, etc.

Suzlon Corporate Action

• Stock Split

Suzlon Energy has split the face value of its shares once, from ₹10 to ₹2. The share became ex-split on January 21, 2008.

• Rights Issue

Suzlon Energy issued a rights share with the ex-rights date on October 3, 2022, in the ratio of 5:21 at a premium of ₹3 per share. Before that, it had also announced a rights issue with an ex-date on June 9, 2010.

• Mergers and Acquisitions

In 2016, Suzlon acquired 5 solar energy companies, viz. Gale Solarfarms, Tornado Solarfarms, Abha Solarfarms, Aalok Solarfarms and Shreyas Solarfarms. In 2015, Suzlon sold 23% of its shares to Dilip Sanghvi Family and Associates. In 2007, it bought Senvion, a German wind turbine manufacturer and turned it into a subsidiary. However, it sold the company in 2015. In 2006, it bought Belgium-based Hansen, the second-largest maker of wind turbine gearboxes in the world, for $565 million.

Financial Highlights

1. From having incurred a net loss of ₹2,692 crore in March 2020, Suzlon went on to earn a net profit of ₹2,887 crore in March 2023.
2. As of September 2023, the company has a high debt-to-equity ratio of 1.76.