Gujarat NRE Coke today announced the launch of $50 million foreign currency convertible bond (FCCB) issue.According to a release issued by the company to the BSE today, the zero-coupon bonds have a tenor of 5 years and one day with a yield-to-maturity of 6.50-7% per annum. "The bonds will be converted into ordinary shares at a conversion price of Rs 125, which is a 24.19% premium to the BSE closing price of Rs 100.65 on March 27, 2006," the release added. The joint lead managers have an option to increase the issue size by an additional $10 million. The bonds are expected to be priced today, and the closing is expected on or about April 11, 2006."An application has been made for the bonds to be admitted to the official list of the Luxembourg Stock Exchange, and would be traded on the Luxembourg Stock Exchange's Euro MTF Market," the release added.
