Suzlon Energy is reportedly planning to invest around 1 billion euro (Rs 5,600 crore) to nearly triple its production capacity by 2009. The expansion plan would raise Suzlon’s turbine production capacity in India from 2,700 mega watt (MW) now to 5,700 MW by the close of fiscal March 2009.
The report suggested that company also plans to raise its capacity to produce wind gearboxes, made by its unlisted Belgian subsidiary Hansen Transmissions, to 9,300 MW by 2009.
Suzlon’s order book stands at around $3.5 billion, up from $3.3 billion in July 2007, with most of the orders from outside India.
At the current price of Rs 1392.85, the scrip trades at a PE multiple of 112.05, based on Q1 June 2007 annualised EPS of Rs 12.43.