Hyderabad-based Panyam Cements & Mineral Industries Ltd said on Friday it will issue up to 8.43 lakh convertible warrants for around Rs 7.13 crore ($1.05 million) to two group firms of Edelweiss Financial Services Ltd.
The cement maker will issue the warrants to EW India Special Assets Fund Pte Ltd and ECap Equities Ltd, it said in a stock market disclosure.
EW India is a $400 million private equity fund managed by Edelweiss Alternative Asset Advisors Ltd, the investment advisory arm of Edelweiss Financial. It provides distressed capital to companies in India.
The warrants can be converted into an equal number of shares within 18 months from the date of issue. Upon conversion, the Edelweiss firms will have a 5 per cent stake in Panyam.
The company said also that it plans to raise around Rs 97.8 crore ($14.4 million) by issuing non-convertible debentures to eligible investors in one or more tranches. It didn’t disclose any other details. Leave Your Comment