Suzlon increases stake in REpower

India’s largest wind turbine maker, Suzlon Energy, has increased its stake in REpower Systems AG to 76 percent.

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India’s largest wind turbine maker, Suzlon Energy (Pune, India), announced on May 3 that it has increased its stake in REpower Systems AG (Hamburg, Germany) to 76 percent. The transaction involved an upfront payment of €30 million ($40.5 million USD) to Portugal’s Martifer Group, to be followed, according to a news release posted on the Suzlon Web site, by the remaining €175 million ($236 million) later in that month. The company had announced in December 2008 its intent to acquire Martifer’s share of REpower. The move enhances Suzlon’s position in the world energy market, following its initial €454 million ($612 million) investment in REpower in 2008, aimed at positioning Suzlon in the European and North American wind power markets. Ranked fifth among the world’s wind energy companies, Suzlon held a better than 10.5 percent share of the market in 2007, has turbines in the field with a combined 2,700 MW of capacity, and has plans to more than double that number. Suzlon Energy’s Chairman and Managing Director Tulsi Tanti said, “This is an important step forward, and clearly demonstrates we are on track to completing the acquisition of REpower and realizing synergies and benefits for both companies.”