Hotel Leelaventure Issues Foreign Currency Convertible Bonds

Hotel Leelaventure Ltd has announced that on April 19, 2007 the Company has secured funding in the amount of US$ 110 million including option to increase USD 10 million through a Foreign Currency Convertible Bonds (FCCBs) issuance. Deutsche Bank acted as the sole bookrunner to the transaction.

The FCCBs, which have a maturity of 5 years and 1 day, are convertible at a conversion price of Rs 90 per share, (as adjusted from time to time) which is at a premium of 49.50% over the closing price of Rs 60.20 on the Bombay Stock Exchange Ltd, April 18, 2007. The FCCBs bonds are zero coupon bonds with a yield to maturity of 7.80%, calculated on a semi - annual basis, at the end of 5 years and 1 day if not converted into shares during the period.

The FCCBs are expected to be listed on the Singapore Exchange Securities Trading Ltd.

The stock was trading at Rs.59.30, down by Re.0.90 or 1.50%. The stock hit an intraday high of Rs.64 and low of Rs.58.55. The total traded quantity was 495882 compared to 2 week average of 489304.

Source : Equity Bulls

Keywords