Mercator Ltd's arm signs agreement to avail facility of $55 mn

Mercator Energy Pte. Ltd (MEPL), a step-down overseas subsidiary of Mercator Ltd, engaged in carrying on the business of oil & gas and allied services of the Company, has entered into an agreement on June 04, 2014, to avail a facility of USD 55mn.

The said facility will be compulsorily converted into equity shares of MEPL in the event of listing of its shares at a pre-determined discount to the listing price. In the event of non-listing of its shares, the facility will be repaid at a pre-determined yield to maturity at the end of 6 years from the first drawdown.

This transaction will help MEPL to expand in the oil and gas space.

Shares of MERCATOR LTD.-$ was last trading in BSE at Rs.36.3 as compared to the previous close of Rs. 35.05. The total number of shares traded during the day was 940798 in over 6461 trades.

The stock hit an intraday high of Rs. 37.85 and intraday low of 35. The net turnover during the day was Rs. 34380705.

Source : Equity Bulls

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