Goldstone to issue $15 million GDRs
By siliconindia   |   Friday, 02 January 2004, 20:30 IST
Printer Print Email Email
HYDERABAD: Goldstone Technologies has decided to approach foreign markets with a GDR issue in the next financial year. Though the company’s board is seeking shareholders’ approval for raising upto $15 million through the GDR issue, it proposes to raise upto $5 million in the first tranche. This was decided at the company’s board meeting on December 30, 2003. The company has scheduled its EGM on February 11 to obtain necessary approvals from shareholders. Company executive director K Vasudeva Rao said the shareholders’ approval will be sought for an enabling resolution to raise funds upto $ 15 million through the GDR issue. The company, which plans to get listed on the Luxemburg Stock Exchange, will raise funds in 2-3 tranches in the next financial year. The GDR issue has been preferred over a preferential issue in order to allow foreign investors to subscribe without any lock-in period. “Though we are seeking an enabling resolution of upto $15 million, we would raise funds in tranches and the first tranche of $5 million will be followed with another tranche to meet our objectives,” Rao said. Goldstone plans to utilise the initial GDR issue proceeds to repay an outstanding debt of Rs 7 crore to IDBI and expand its offshore capacities. (source: ET)

siliconindia