PTI

Mumbai: Pharmaceutical company Strides Arcolab said on 8 June it has completed the $100 million convertible bond issue and has fixed an initial conversion price of Rs461.553 a share.

“We are delighted this issue has generated strong demand and was over subscribed, reflecting a high level of confidence in the company’s strategy and niche business model,” Strides Arcolab vice-chairman and managing director Arun Kumar said.

The foreign currency convertible bonds (FCCBs) issue was for raising $75 million. In addition, Barclays Capital, the lead manager to the issue, had an option to increase the issue size by $25 million.

The initial conversion price of Rs461.55 per share, represents 34.2% premium over closing price of Rs342.65 on 7 June on the National Stock Exchange.

Application would be made for the bonds to be listed on the Singapore Stock Exchange and for the shares, to be issued upon conversion, on NSE and BSE, Strides Arcolab said in a communique to the Bombay Stock Exchange while announcing the terms for the issue due on 2012.

The yield to maturity was fixed at 7.57% and the bonds would be redeemed at 145.05% at par on 27 June 2012, the company added.

Barclays Capital was the sole bookrunner and lead manager for the offering and State Bank of India was the financial adviser to the issue.