India's Pyramid Saimira raises $90 mil


NEW DELHI -- India's largest theatrical chain, Pyramid Saimira Theatres -- based in Chennai, South India -- said Wednesday it has issued $90 million (Rupees 3.69 billion) of Foreign Currency Convertible Bonds (FCCBs) which will be listed on the Singapore Stock Exchange.

In an official statement to the Bombay Stock Exchange, PST said: "The proceeds of the issue shall be used for potential strategic acquisitions outside India and other purposes."

PST runs over 325 screens largely in South India and is in the process of creating a digital theatre chain with plans of touching over 2,000 screens by 2010.

In addition, PST is present in Malaysia via its joint venture company Pyramid Saimira Theatre Chain Malaysia Sdn Bhd, which manages over 50 screens.

The FCCBs will be convertible into equity shares of the company at a conversion price of $11.35 (Rupees 454) per share. The underlying equity shares on conversion will be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange.

The FCCBs will have a five-year maturity, maturing on 4 June 2012.

London-based investment banker Jefferies International Ltd was the sole book-runner and lead manager for the transaction while Mumbai-based Keynote Corporate Services Ltd acted as advisors on the transaction.

Shares of PST on the BSE gained 0.91% Wednesday touching $8.35 (Rupees 333).