Suzlon to hold 87.1 pc votes in RE Power

Mumbai, June 3: The Suzlon-RE Power merger saga, in which Asia's largest wind turbine-maker Suzlon Energy sealed up the deal by cornering 87.1 per cent of total votes in the Hamburg-based RE Power Systems AG, may bring boons to the Indian energy major.

Following the take over, 33.85 per cent shares of RE Power now rests with Suzlon, besides 25.46 per cent additional capital of RE Power bagged by it in the additional acceptence period ended May 25.

This apart, the energy major has also reached voting-pool- agreements with the latter's shareholders Martifer and Areva fetching more than three quarters of votes to Suzlon in RE Power Systems AG.

The acquisition has virtually opened up windows to Suzlon to explore the key wind markets in Europe and Asia. Company's wide manufacturing presence in low-cost zones like India and China, is expected to support the plans.

The 1.34 billion Euro take over, reportedly the 3rd largest overseas take over bid by any Indian company, has extended the Suzlon empire into European wind energy market, which constitutes around half of the global market.

''The acquisition will help Suzlon to concentrate more in carrying forward the impressive success story of RE Power,'' said Suzlon chairman Tulsi R Tanti in a statement.

The company is eying the strong market presence of RE Power especially in the production of turbines with outputs ranging from 1.5 to 5 mega watts.

Over the past few years, the company has expanded its market presence in countries like China, United States, Belgium, Denmark, Australia and Germeny.

In yet another major move, Suzlon had also acquired Hansen Transmissions in Belgium, one of the leading manufacturers of gear-boxes in world.

Meanwhile, the acquisition has also attrcated applauds from the World Wind Energy Association (WWEA).

''We are happy that two such potent wind turbine manufacturers, who compliment each other so well, have come together,'' said Stefan Gsanger, secretary general of WWEA in a statement.

UNI