Gamesa, Caparo set to sign India wind turbine deal while Suzlon reports records revenues

The Indian units of turbine manufacturer Gamesa and wind plant operator Caparo Energy are set to embark on a joint venture, according to reports.

Neither company could confirm the deal, but Gamesa's recent results show that it derived 100 pe cent of its first quarter sales from international markets, underpinning its need to diversify into emerging global sectors.

Caparo has previously partnered with India-headquartered turbine manufacturer Suzlon to buy about 3GW of wind power assets. According to the company's website, it plans to acquire a portfolio of wind farms with a total target of annual installed capacity of 5GW by 2017.

During the first quarter, Spain's Gamesa saw its sales in India expand eight-fold and they accounted for almost one quarter of the period's total while orders from China were responsible for about 13 per cent of total sales.

Caparo Energy's investors include some of the largest funds operating in this space including Henderson, Eton Park, Capital International and BlackRock.

Suzlon Energy, meanwhile, the world's fifth largest wind turbine supplier, had a record annual order intake for close to 4GW of technology in its latest financial year ending in March 2011.

The India-based company saw strong growth in the fourth quarter, and its order book already tallies in at $6.7bn, promising new sales in the year ahead.

Its revenue grew 20 per cent year-on-year to $1.62bn, while its EBITDA reached $228m, up 91 per cent year-on-year in the fourth quarter. The company failed to give details of its debt or net income results in its financial statement, however.

With the size of its order book increasing 60 per cent compared to the previous year, Suzlon has pitched its revenue guidance for the financial year ahead at five times what it achieved in the recent year.

The company now expects to reap between $5.3bn and $5.8bn in revenue during fiscal 2012, it revealed in its latest financial statement.

Suzlon Group founder and chairman Tulsi Tanti attributed much of the company's improvements to growth in the India market for renewable energy.