Suzlon Group to sell stakes in China unit

India-based Suzlon Group, which controls wind-turbine maker Suzlon Energy, said China Power New Energy Development Co. Ltd. will buy stakes in its China manufacturing unit for Rs3.4 billion (US$61.3 million). Suzlon, the fifth-largest wind turbine maker in the world, will be sold along with majority of its assets and liabilities. Its chairman, Tulsi Tanti, explained the reason behind the sale: “This is also in line with our previously announced strategy to dispose of non-critical group assets to reduce our long-term debt…. We are realigning our strategy to the China market with an agile, asset-light business model to achieve high growth and margins but with lower investments.” Suzlon Group began marketing operations in China in 2005, and established a wholly-owned manufacturing facility in 2006. To date, the company has installed more than 900 megawatts of wind capacity in China. (June 23, 2012)