Kolkata, 1st February, 2010: The Board of Directors of Gujarat NRE Coke Ltd at its meeting held on 24th January, 2010 has authorized its Chairman & Managing Director, if deemed fit, to initiate appropriate action for redemption of its all outstanding Bonds under the Zero Coupon Unsecured Foreign Currency Convertible Bonds (FCCB) issued in 2006. The Company presently has FCCB amounting USD 17.5 million outstanding against a total FCCB of USD 60 million issued in 2006 which are due for maturity on 12th April 2011. The conversion price for these FCCB is Rs.44.64 per share.
As per the terms and conditions of the Offering Circular to the aforesaid issue of FCCBs, the company the has option to redeem outstanding FCCB where aggregate value (market value) per bond during a period of 20 consecutive trading days in any period of 30 consecutive trading days was atleast 130% of its early redemption amount. As the scrip of the company was quoting over such early redemption amount since the third week of December, 2009, the Board of Directors has approved early redemption of these FCCBs in full and have accordingly authorized its CMD to act suitably in the matter.
Gujarat NRE Coke Ltd is the country’s largest independent producer of Low Ash Metallurgical Coke (LAMC) with a track record of regularly rewarding its investors with dividends and bonus. The Company presently has a met coke producing capacity of 1.25 million tones per annum. The company has extensive plans for Brownfield and Greenfield expansion, taking the total capacity to around 4 million tones per annum in the next 4 years.
The company owns and operates two hard coking coal mines in Australia, with major mine developments underway to ramp up productions to around 6 million tones by the year 2014-15.
For More Information contact:
Mr Sutirtha Roy at +(91) 98790 19880 |