‘Prakash Industries Ltd.’ informed the stock exchanges about allotment of 5,82,977 equity shares of Rs. 10 each on 03 May 2016. The allotment of equity shares was on account of conversion of foreign currency convertible bonds (FCCBs).
FCCBs or foreign currency convertible bonds are debt instruments issued in a currency other than the issuer’s domestic currency. The holders of such bonds have an option of converting them into equity shares at a later stage.
‘Prakash Industries Ltd.’ received a notice from a FCCB holder for conversion of 11 FCCBs, worth USD 1,00,000 each, into 5,82,977 equity shares of Rs. 10 each. Accordingly, the FCCB Conversion Committee of the company in its meeting held on May 03, 2016 has allotted 5,82,977 equity shares to the said FCCB holder.
Consequent upon the aforesaid conversion, the paid up share capital of the Company has increased from Rs. 1,344.8 million to Rs. 1,350.7 million.
‘Prakash Industries Ltd.’ was incorporated in the year 1980. It is classified into the industry group ‘Steel’ and into the main product/service group ‘Finished Steel (Non-Alloy Steel)’ in Prowess.
Information about conversion of FCCBs by companies can be obtained in Prowess using the ‘Changes in Equity Capital’ report in the ‘Report Viewer’. It provides a lot of additional information such as capital issue type, security type, capital issue date, etc.