Suzlon claimed it was “back to business from a position of strength” after the Indian wind group completed a long-awaited restructuring of its massive debts.

The wind OEM, which has been operationally floored for the last 18 months by the pressures of servicing a $1.5bn debt pile, received final approval from its secured lenders for the plan that it said slashes its interest costs by 70%.

Suzlon chief financial officer Swapnil Jain said: “This debt restructuring will ease the pressure on our cash flows significantly and give us headroom for ramping up business operations.

“It improves our overall competitiveness in the marketplace and now Suzlon is back to business from a position of strength.”

The debt restructuring hammered out over the last six months has seen major creditors take significant 'haircuts' on what's owed to them rather than force the company down a road towards potential bankruptcy, with its own auditor warning Suzlon faced “severe liquidity stress” that cast doubt on its ability to go on as it posted quarterly loss after loss.

Shares in Suzlon rose in Mumbai following the announcement to touch year-highs of 5.62 rupees on Thursday, continuing a week-long rally for the company’s stock but still well below the 25 rupees or so they traded at in 2017.

Wind sector analysts warn that Suzlon now has to regain traction in an Indian wind market that is suffering its own pressures, and in competition with some of the biggest names in the global sector such as Vestas, Siemens Gamesa and GE Renewable Energy.

Suzlon’s latest financial results said the company had an 857MW firm order backlog and a 15GW service base, almost all of it in India.

This is the second time Suzlon – which at one time had ambitions to be a major global player – has been forced to restructure its debts, following a similar process in 2012.

Founder and chairman Tulsi Tanti said the “consortium of lenders led by State Bank of India and the Company have worked together to protect the interests of all the stakeholders involved, thereby protecting the Indian wind energy sector, saving thousands of direct and indirect jobs”.

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Suzlon 'back to business' as shares hit year-high on final debt recast OK