Pyramid Saimira raises $90 million in FCCBs to fund acquisitions abroad

Mumbai: Pyramid Saimira Theatre Ltd has raised $90 million (Rs369 crore) through the issue of foreign currency convertible bonds (FCCBs) in the international market to fund its overseas acquisition plans.

"The proceeds of the issue shall be used for potential strategic acquisitions outside India and other purposes", the company said in a filing with the Bombay Stock Exchange (BSE).

The FCCBs would mature on June 4, 2012 and would be convertible into equity shares of the company at Rs454 per share, which is a premium of 36 per cent calculated over the June 28 closing price of the company''s stock of Rs333.20 on the BSE.

The FCCBs would be listed on the Singapore Stock Exchange and the underlying equity shares upon conversion would be listed on the BSE and the National Stock Exchange (NSE).

Pyramid Saimira is currently India`s largest theatre chain company, with over 325 screens under management, across South India. The company has more than 2.25 lakh seats per show with over 4.4-lakh sq.ft. of space under operational management.

The company is in the process of creating a mega digital theatre chain and plans to be present in 1,550 locations across India with over 2,000 screens by 2010. The company is also present in Malaysia through its joint venture company called Pyramid Saimira Theatre Chain Malaysia Sdn Bhd and already has over 50 screens under management.

Jefferies International Ltd was the sole book-runner and lead manager for the transaction. Keynote Corporate Services Ltd acted as advisors on the transaction on behalf of Pyramid Saimira.