Mumbai: Indian drugmaker Elder Pharmaceuticals plans to raise Rs 105 Crore through 7-year bonds at 11.25%, two sources with direct knowledge of the deal told Reuters.
The bond features repayments in 10 equal semi-annual instalments commencing two years after the issue date, the sources said.
Proceeds from the secured non-convertible debenture issue will refinance existing higher cost debt, a senior company source told Reuters. Typically, long term debt comes at 12.5% to 13.5%, he added.
Almondz Global Securities is the sole arranger of the deal.