New Delhi: Inox Wind Ltd on Thursday said the wind energy solutions provider will become a net debt-free company after its promoter Inox Wind Energy (IWEL) has invested Rs 900 crore in the company.

In a statement, Inox Wind Limited (IWL) on Thursday announced the completion of investment of Rs 900 crore in the company by its promoter Inox Wind Energy Limited (IWEL).

Kailash Tarachandani, CEO, Inox Wind, said, “This fund investment will help us become a net debt-free company, strengthen our balance sheet and help accelerate our growth. We will also achieve substantial savings in interest expenses going forward.” “We hope that will help our profitability.”

According to the company statement, the funds were raised by IWEL through the sale of equity shares of IWL through a block deal on the stock exchanges on May 28, 2024, which saw participation from multiple key investors.

It said the funds will be used by Inox Wind Ltd to completely reduce its external debt to achieve a net debt-free position.

Net debt is a metric that determines how well a company can repay all of its due debts promptly.

“The net debt free position is excluding promoter debt,” Inox Wind said.