Mumbai based IT products and solutions provider Rolta, today announced the successful pricing of 10.75% Senior Notes in the international markets, worth $200 million (around Rs 1,090 crore). The Notes will be listed on the Singapore Exchange Securities Trading Ltd.
The offering made by its wholly owned subsidiary, Rolta LLC was oversubscribed by two times, with demand from an investor base that constitutes asset managers (72%), banks (10%) and retail accounts (18%), said the company in a press statement.
In terms of geography, Asia contributed to 47% of the demand, and US contributed 43%, whereas European investors accounted for 10% of the demand.
The notes have a tenure of five years and are guaranteed by Rolta and its subsidiaries. The proceeds from the Notes will be used for refinancing existing debt, to meet working capital requirements and for general corporate purposes.
“We are very pleased to have set a new benchmark by successfully completing this offering, one of the first few high-yield bond issuances of its kind. We are also privileged to note the confidence that some of the investors have placed in us,” said K K Singh, chairman and managing director of Rolta.
Barclays, Citigroup, DBS and Deutsche Banks acted as the joint lead managers to the notes offering. DLA Piper and Davis Polk were US counsels to Rolta and to the joint lead managers, respectively. AZB and Trilegal advised Rolta and the joint lead managers on matters of Indian law.