Pyramid Saimira completes USD 90 Million FCCB

Pyramid Saimira Theatre Ltd has announced that the Company has issued USD 90.0 million (Rs 369 crores) of Foreign Currency Convertible Bonds (FCCBs). The proceeds of the issue shall be used for (a) potential strategic acquisitions outside India (permitted by the RBI and the Government of India) and (b) for such other purposes as may be permitted from time to time in compliance with the applicable guidelines issued by the RBI and the Government of India. The FCCBs will have a maturity of five years and one day and will be convertible into equity shares of the Company at a conversion price of Rs 454 per share, which is a premium of approximately 32%, over the close on June 28, 2007 at the Bombay Stock Exchange (BSE). The FCCBs will mature on June 04, 2012. The underlying equity shares on conversion will be listed on the BSE and National Stock Exchange (NSE). The FCCBs are going to be listed on the Singapore Stock Exchange.

The Company is currently India’s largest theatre chain company, with over 325 screens under management across South India. The Company has more than 2.25 lakh seats per show with over 4.4 lakh sq.ft. of space under operational management. The Company is in the process of creating a mega digital theatre chain and plans to be present in 1,550 locations across India with over 2,000 screens by 2010. The Company is integrating the exhibition sector into a branded transparent point of presence and plans to offer high quality digitally distributed films and events to its patrons. In addition, the Company is present in Malaysia through its joint venture Company called Pyramid Saimira Theatre Chain Malaysia Sdn Bhd and already has over 50 screens under management.

Jefferies International Ltd was the Sole Book-Runner and Lead Manager for the transaction. Keynote Corporate Services Ltd acted as Advisors on the transaction on behalf of the Company.

The stock was trading at Rs.333.50, up by Rs.3.50 or 1.06%. The stock hit an intraday high of Rs.339.70 and low of Rs.332.70. The total traded quantity was 71404 compared to 2 week average of 454976.

Source : Equity Bulls

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