Vestas Wind to cut 1,900 jobs

 

Vestas Wind Systems, the world’s biggest wind-turbine manufacturer, said it will lay off almost 9 per cent of its workforce and sell new shares as it kept its outlook for sales growth this year.

Vestas will cut about 1,900 jobs, primarily in Denmark and the UK, as sales slowed in northern Europe, the Randers, Denmark-based company said today.

It will sell as many as 18.5 million shares in a private placement, or almost 10 per cent of its share capital, Vestas said in a separate statement.

He recommends buying new shares with a target price of 414 kroner apiece. Vestas today said net income gained 70 per cent and revenue rose 58 per cent in the first quarter and kept an outlook for 2009 sales to rise 20 per cent to €7.2 billion.

Growth in wind energy has slowed after averaging 27.6 per cent in the past five years amid a reluctance from banks to approve financing for projects, according to BTM Consult APS.

Net income increased to €56 million from €33 million a year earlier.

Bloomberg