Orchid Chemicals places Zero Coupon FCCB offering to raise US$ 200 million

Orchid Chemicals & Pharmaceuticals Ltd has announced that pursuant to the approval received from the shareholders for raising funds in the overseas markers, the Company has placed a zero coupon Foreign Currency Convertible Bond (FCCB) offering of USD 175 million with a greenshoe option of USD 25 million, aggregating to USD 200 million. The bonds are convertible at an initial conversion price of Rs 348.34 which represents a premium of 30% over Monday's (February 12, 2007) closing price of the Company's scrip on the NSE (Rs 267.95). This works out to a conversion price, of Rs 348.34. The bonds have a maturity period of 5 years. Merrill Lynch International have acted as the sole bookrunner to the issue. This offering is subject to fulfillment of various conditions including approvals by the Singapore Stock Exchange and Bombay Stock Exchange (BSE), National Stock Exchange (NSE) and Madras Stock Exchange (MSE).

This offering is not an offer of securities for sale in the United States. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), or any applicable state securities laws, and may not be offered or sold within the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.

This offering shall not constitute an offer to sell or a solicitation of an offer to buy securities nor shall there be any sale of any securities in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

Source : Equity Bulls

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