Suryajyoti Spinning raises FCCB of US $ 10 million

Suryajyoti Spinning Mills Ltd has announced that the Company has raised USD 10 million by issuing Foreign Currency Convertible Bonds (FCCB). The bonds, which have been listed on the Singapore Stock Exchange, are convertible into ordinary / equity shares at a price of Rs 85 per share.

The proceeds of the FCCB issue will be deployed to part finance its new bottom-weight fabric project and for modernization and expansion schemes of the company.

In line with its earlier announced expansion plan, the Company has commenced construction of its specialty bottom weight fabric weaving, dyeing, and finishing plant in Hyderabad. Production is expected to start in the second half of FY 2008 with the facility expected to reach optimal production levels by FY 2010. The establishment of this facility is being part-financed by the proceeds of the FCCB issue.

Source : Equity Bulls

Keywords