Punj Lloyd to raise USD 125 mn through FCCBs

Mumbai, Mar 3 (UNI) Punj Lloyd has tied-up with Citigroup Global Markets, London today for the issuance of foreign currency convertible bonds (FCCBs) for US dollars 125 million.

Under the agreement, the bonds will have a tenure of five years and one day and a semi-annual coupon of 4.65 per cent. The bonds will not be convertible before July one and will be convertible into equity shares at a price of Rs 1,362.94, which is a premium of 25 per cent to the BSE closing price of Rs 1,090.35 as on March two, a release issued here said.

The FCCBs are expected to be listed on the Singapore Stock Exchange.

The offering was lead managed by Citigroup while ICICI Bank acted as sole financial advisor to the company.

The proceeds from this offering will be used primarily to finance the company's ongoing capital expenditures, repayment of international debt, possible acquisitions outside India, investment in BOT projects and any other use as may be permitted under applicable law or by the regulatory bodies, from time-to-time, the release added.

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