India-based IT firm, Geodesic Information Systems Ltd, has announced that it will raise USD 125 million through the Foreign Currency Convertible Bonds (FCCBs) route to raise funds to finance future inorganic growth.

The company intends to use the proceeds for overseas acquisitions and investments in joint ventures/wholly owned subsidiaries, an official release said.

These zero coupon, five-year bonds will be convertible into Geodesic ordinary shares on maturity.
The five-year bonds — which are expected to carry an annual yield to maturity of 6.6 per cent — are proposed to be listed on the Singapore Stock Exchange.

The initial conversion price is Rs. 302.27, representing a premium of 35 per cent over the closing price of Rs 223.9, on the NSE on Thursday.

Mumbai-based IT Company is widely recognized for its pioneering universal instant messaging system (www.mundu.com). The Mundu products successfully combine AIM, Google Talk, ICQ, MSN, Mundu and Yahoo with deep content collaboration across the Internet, wireless devices and platforms.

The stock closed on Friday at Rs. 223 on BSE, up by 1% compared with previous close of Rs. 221. It touched an intraday high of Rs. 236 and 221.