Gitanjali Gems Completes US $180 Million GDR Issue

Gitanjali Gems Ltd has announced that the Company has successfully concluded GDR issue of US $180 million GDRs (including an over-allotment option of up to US$ 30 million) at US$ 9.67 per GDR.

The Company further informed that with reference to issue of US $ 180 million GDRs, subject to Over-allotment Option (Green Shoe Option) of US$ 30 million GDRs, whereby one GDR representing one equity share, having nominal value of Rs 10/- each, the Company has issued and allotted in two tranches, 13,994,271 and 4,620,000 equity shares underlying the GDRs respectively in the meeting of allotment com of directors held on December 14, 2007.

The net proceeds received out of GDRs amounting to US $ 175.55 million shall be utilized for expansion of Company's new and existing businesses, including through acquisitions, investing in the Company's subsidiaries, both in India and abroad, and to augment funds to meet the working capital requirements required for fulfilling general corporate and working capital purposes.

The said GDRs will be listed on the London Stock Exchange.

JP Morgan Securities Ltd was the Global Coordinator, Sole Book-runner and Lead Manager and Jefferies International Ltd acted as Co-Manager on this transaction on behalf of the Company.

Source : Equity Bulls

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