Date:01/06/2006 URL: http://www.thehindubusinessline.com/2006/06/01/stories/2006060103830200.htm

Back Kanoria Chem raises $20 m through FCCBs

Our Bureau

New Delhi , May 31

Kanoria Chemicals and Industries Ltd has informed the Bombay Stock Exchange that it has raised $20 million through zero coupon Foreign Currency Convertible Bonds (FCCBs).

The bonds will be convertible into equity shares at a conversion price of Rs 160. The bonds have tenure of five years and bear a yield-to-maturity of 7.5 per cent.

Silverdale Services Ltd, London was the sole lead manager for the offering.

The company said that money raised would be utilised to fund the expansion of Chlor Alkali capacity with simultaneous expansion in capacities of various chlorinated derivatives.

Mr R.V. Kanoria, Chairman and Managing Director of Kanoria Chemicals and Industries Ltd said, "We are pleased that global investors have recognised the potential of our company and its excellent growth prospects. This has enabled us to raise monies at significant premium over our current share price."