Reliance Communications completes FCCB issue

Reliance Communications Ltd has announced that the Company has completed an offering of Foreign Currency Convertible Bonds (FCCBs) in the international markets, on the following terms:

- Instrument: 10,000 Foreign Currency Convertible Bonds each of US$ 1,00,000

- Amount: US$ 1 Billion

- Tenor: 5 years and 1 day

- Conversion Price: Rs 661.23 per share, representing a premium of 30% to the volume weighted average price of the shares on February 05, 2007.

- Coupon: 0 % Coupon

- Yield to maturity: 4.95 % per annum

- Listing: Singapore Stock Exchange (expected)

In the event the above FCCBs are fully converted into equity share capital of the Company would increase by approx. 6.67 crore equity shares of Rs 5/- each.

The Company has entered into the Subscription Agreement with the Arrangers and Bookrunners, The Hongkong and Shanghai Banking Corporation and J P Morgan Securities Ltd., subject to necessary approvals.

Source : Equity Bulls

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