Orchid Chemicals to raise funds to retire foreign currency debt & support other business purposes

Orchid Chemicals & Pharmaceuticals Ltd has announced has the Company has recently priced USD 175 million zero coupon Foreign Currency Convertible Bonds, with an underwriter greenshoe option of USD 25 million. The closing of the offering is expected to occur on February 27, 2007 and is subject to the fulfillment of requisite conditions.

The Company intends to utilize approximately USD 130 million of the proceeds for repayment of certain outstanding foreign currency loans, and the balance for completing its NPNC products and Carbapenem API and dosage form facilities, accelerating and expanding its ANDA and dossier filings to diversify and strengthen its presence in the U.S. generics and other regulated markets, strengthening of overseas marketing and distribution infrastructure, and general corporate purposes as may be permitted under applicable law or regulations.

Source : Equity Bulls

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