Gujarat NRE plans to raise $100 mn

Gujarat NRE Coke today said it plans to raise up to $ 100 million (Rs 550 crore) by issuing convertible securities overseas.

     
The company, in an exchange filing, said its Board would meet on April 29 to consider "issue of Securities (including Foreign Currency Convertible Bonds) for an amount not exceeding $ 100 million or Rs 550 crore, whichever is higher."

     
The Board had in a meeting in February authorised the company management for issue of FCCBs, not exceeding $ 60 million.

   
FCCBs are quasi-debt instruments and companies issue such bonds to raise capital.

     
Gujarat NRE has coking coal mines in Australia with over 650 million tonnes of resource. It owns these firms through its subsidiary Gujarat NRE Coking Coal, listed on the Australian Stock Exchange.

     
Gujarat NRE had clocked Rs 3.09 crore net profit on a revenue of Rs 1,372 crore in 2011-12.