Gitanjali Gems issues FCCBs worth US$ 110 million

Gitanjali Gems Ltd has announced that the Company has issued USD 110.0 million (approx. Rs 495 crores) of Foreign Currency Convertible Bonds (FCCBs). The proceeds of the issue shall be utilized to cater to the Company’s capital expenditure requirements and acquisitions. 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 275 per share, which is a premium of approximately 28%, on the Bombay Stock Exchange price (BSE) on November 24, 2006. The FCCBS will mature on November 25, 2011. The underlying equity shares on conversion will he listed on the BSE and National Stock Exchange (NSE). The FCCBs will he listed on the Singapore Stock Exchange.

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

Source : Equity Bulls

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