Shrenuj & Company to issue FCCBs for US$ 15 million

Shrenuj & Company Ltd has announced that the Board of Directors of the Company at its meeting held on October 18, 2006, has approved the issue of Foreign Currency Convertible Bonds (FCCB) of US$ 15 Million in two tranches of US$ 7.5 Million each. The Bonds will be listed on the Singapore Stock Exchange.

The Bonds will be convertible at a conversion price of Rs 45/- per share (for 3 year term) and Rs 50/- per share (for 5 years term) which is at a premium to the Company's closing share price on Mumbai Stock Exchange as on relevant date.

The Bonds are convertible into equity shares at the option of the Bondholder(s). The yield to maturity of the bonds is set at LIBOR + 3.30% per annum for five year term and LIBOR + 2.00% per annum for three years term. Placement agent for the issue is ICICI Bank Ltd, Singapore branch.

Source : Equity Bulls

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