Micro Tech to expand through FCCB

MUMBAI, INDIA: Micro Technologies (India) Ltd has announced that it has issued 0.5 per cent Foreign Currency Convertible Bonds (FCCBs) worth $15 million, convertible into ordinary shares of the company.

The offer has been fully subscribed, including Lehman Brothers as one of the subscribers. The bond will mature by 2012 having 7.75 per cent yields to maturity calculated on semi annual basis. The bonds will be traded on the Singapore Stock Exchange.

This FCCB looks at aiding Micro Technologies by expanding in major ways across different geographies as well as be a major part of its revenue through their increase in the export market.

The FCCB issue looks at expanding its operations across the globe majorly to the Middle East (W.L.L, Kingdom of Bahrain), US and domestic market through one of the subsidiaries of Micro Technologies, Micro Secure Solutions Ltd. Micro Secure Solutions Ltd. with the range of its product addresses the key area of Premises Security. Its mission is to address all areas of security when protecting premises.

The Standard Chartered acted as the lead managers to the issue. The proceeds of the issue are expected to be utilized for Development of new facilities, modernization and/or expansion of support centers, and/or Acquisitions/ Strategic Investments.