Brookfield Asset Management sets to acquire the minority stakes of Suzlon Energy

Brookfield Asset Management Inc is offering a minority stakes acquisition in the debt-laden Suzlon Energy Ltd. 

Brookfield has commissioned its financial adviser to work for the due diligence on Suzlon. Brookfield proposes to start with buying new shares issued by the company, followed by purchasing stocks from the existing holders under an open offer. 

The deal offered by Brookfield includes the restructuring of the outstanding bank loans of more than INR110 billion(US$1.6 billion) under a so-called one-time settlement plan. The company also demands that the lenders led by State Bank of India take a haircut of as much as 50% on the loans. 

Suzlon, together with its subsidiaries, manufactures and sells wind turbine generators and related components in Asia, Europe, North America, Australia, and internationally. The company also engages in selling solar systems; and the provision of services, such as operation and maintenance of wind turbine generators, as well as project execution and site infrastructure development services.