India's troubled wind energy giant Suzlon said Tuesday that it has raised $647 million by selling bonds, which will be used to repay loans as part of its debt restructuring plans.
Suzlon, once a star of India's green technology, called it an "important milestone" for the group and a key requirement in its corporate debt restructuring (CDR) plans with its creditors.
State Bank of India, the country's largest bank and a lender to Suzlon, had issued a letter of credit -- or a guarantee -- to potential bond buyers, which helped Suzlon to gain easier access to bond markets.
"The structure of the deal, which we believe to be the first ever dollar-credit enhanced bond from India, gives the group much needed head-room via low-cost funding," said Suzlon's finance chief Kirti Vagadia in a statement.
In February, Suzlon posted its biggest-ever quarterly loss, which had quadrupled to $211 million in the three months to December due to a combination of hefty debt and declining global demand for turbines.
Suzlon chairman Tulsi Tanti said then that "near-term challenges" for the wind energy sector would continue because macro-economic conditions and policy challenges affected markets worldwide.