Successful GDR float fails to sweeten Bajaj Hind

DALAL STREET SPIKES

A successful GDR issue failed to enthuse Bajaj Hindustan counter. The stock after hitting the day's high of Rs 150, slipped on overall weakness in the market to close at Rs 144.60, marginally lower than yesterday's close of Rs 144.75.

More than 2 lakh shares changed hands at the counter on BSE today. The company today announced that it has raised $100 million through the issue of 20,833,000 GDRs aggregating $60 million and $40 million through the issue of convertible bonds.

The GDRs (each representing one underlying share) were priced at $2.88 each (equivalent to Rs 125 per share). The GDRs and the convertible bonds will be listed on the Luxembourg Stock Exchange.

Sources said, the GDR factor was incorporated into the stock prices and the stock failed to react to today's development. Bajaj Hindustan said, these funds will enable us to augment our capacity and strengthen our existing position as the pre-eminent sugar company in India.