Tantia Constructions raises USD 7.5 mn through FCCB issue

Mumbai, July 20 (UNI) Tantia Constructions has announced the closure of its USD 7.5 million offering of foreign currency convertible bonds (FCCBs), pursuant to the special resolution passed by the shareholders of the Company.

The FCCBs would be listed on Singapore Exchange Securities Trading Limited. SBI CAP (UK) is the Lead Manager for the offering.

The Company intends to use this for funding assets, purchase of equipment and machinery.

Company CMD I P Tantia said, ''We are delighted with the support and confidence of international capital market in Tantia's business strategy and vision.'' FCCBs issued by Tantia Constructions have a tenure of five years and will be due in 2012. These instruments carry a coupon rate of one per cent and are convertible at a conversion price of Rs 140 per share, representing a premium of Rs 130 to the face value and a premium of 25 per cent to the existing market price.

The Company's total revenue for the year ended March 31, 2007, closed at Rs 246.03 crore as against Rs 162.28 crore last fiscal.

The company has also bagged the competitive bid of constructing a new terminal building and allied works at the Coochbehar Airport.

The total cost of the project amounts to Rs 12 crore and the construction work of the airport terminal would be completed within 12 months.

UNI