BackChemplast Sanmar redeems entire outstanding NCDs using IPO proceeds
Chemplast Sanmar redeemed the entire outstanding NCDs on August 31 that were issued in December 2019
PremiumChemplast Sanmar Limited has completed early redemption of Redeemable Non-Convertible Secured Debentures (NCDs) using the IPO proceeds from its public issue that was launched in August. The company redeemed the entire outstanding NCDs on August 31 that were issued in December 2019 by the specialty chemicals manufacturer.
The redemption of these NCDs amounting to ₹1,238.25 crores, which was part of the objects of the primary issue, was made using the net proceeds of fresh issue of equity shares of the Company (IPO) made in August 2021, it said.
The company further announced that, using the net proceeds of the Offer for Sale (OFS), received by the Selling Shareholders Sanmar Holdings Limited and SESL, the term loan availed by SESL from HDFC Limited has been fully repaid.
Consequently, the security in respect of this loan, including the pledge over the equity shares of CCVL, the wholly owned subsidiary of Chemplast, has been fully released on 31st August 2021 by the Security Trustee.
With this, there is no pledge over the shares of CCVL held by the Company and the shares of Chemplast Sanmar Ltd held by the promoters.
Chennai-based Chemplast Sanmar is a leading specialty chemicals manufacturer with focus on specialty paste polyvinyl chloride resin and custom manufacturing of starting materials and intermediates for pharmaceutical, agro-chemical and fine chemicals sectors.
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