Mascon Global to issue GDRs

The Board in their earlier meeting, decided for an issue of US$ 50 million for FCCB and GDRs of US$ 20 million aggregating to US$ 70 million. The Company has completed the FCCB issue for US $ 50 million. After review, the Board considered and approved the issue of GDRs for US$ 21 million (US$ 20 million towards purchase consideration for acquisition and the balance US$ 1 million on cash basis). They approved the Final Offering Circular in connection with the proposed GDR Issue upto US $ 21 Million, to be filed with the Luxembourg Stock Exchange (LSE). The Board approved the issue of upto 10.5 million no. of GDRs priced not less than US$ 2 per GDR, which is in accordance with the pricing norms prescribed by the Ministry of Finance vide their notification dated August 31, 2005.

The Board further noted that the Lead Manager to the issue will open the issue soon. On closing of the issue, the GDR Committee will meet to consider and allot the underlying equity shares towards the said GDRs in favour of Deutsche Bank Trust Company Americas.

The Board considered and approved various connected agreements like Placing Agreement, Depository Agreement, Legal opinions etc. forming part of the GDR issue.

The Company has already received the In-Principle approval from the designated Stock Exchange, for the proposed GDR Issue.

Source : Equity Bulls

Keywords