Hexaware Technologies converts General Atlantic's preference shares into equity share @ 142.10 per share

Hexaware Technologies Ltd on September 11, 2007 announced that GA Global Investments Ltd (General Atlantic) have opted to exercise their conversion option of 1,055,570 preference shares into unregistered American Depository Receipts (ADR) represented by underlying 10,555,700 equity shares @ 142.10 per share as per the terms & conditions of the Preference Shares as approved by the Shareholders of the Company on April 13, 2006.

General Atlantic had invested Rs 300 crores in Hexaware through a preferential allotment in early 2006. The allotment was in the form of 10.57 mn equity shares at Rs 142.10 per share and 1.056 mn optionally convertible preference shares amounting to Rs 150.20 crores ($ 33.83 mn) & Rs 150 crores ($33.78 mn) by converting into equity shares @142.10 per share respectively.

As per the terms and condition of the Preference shares, General Atlantic had an option for eighteen months ending October 24, 2007 to either convert into equity shares or opt for redemption.

Commenting on the development, Mr. Atul Nishar, Executive Chairman, of the Company said, "General Atlantic continues to demonstrate their confidence in Hexaware's management team and our business outlook."

Post conversion, the equity capital of the Company stands at Rs 28.72 crores with 143,599,850 equity shares of Rs 2/- each, thereby substantially Strengthening the reserves of the Company.

J P Morgan Chase Bank N. A. will act as the Depository for the issue of unlisted ADR.

Source : Equity Bulls

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