Kellton Tech Solutions Limited has informed the Exchange regarding 'Allotment of FCCBs'.
KELLTONTEC · price
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Kellton Tech Solutions has allotted 10,000 Foreign Currency Convertible Bonds (FCCBs) with an aggregate value of USD 10 million. Each bond has a face value of USD 1,000, carries a coupon rate of 6.5% per annum, and has a tenure of 10 years, maturing in 2035. The initial conversion price has been set at ₹106 per equity share, allowing bondholders to convert their bonds into company shares at that price. The allotment was approved by the Security Issuance Committee on May 23, 2025, and complies with FEMA, SEBI ICDR Regulations, and RBI's External Commercial Borrowings Guidelines.
This USD 10 million FCCB issuance brings in foreign capital that can fund growth without immediate dilution, but bondholders may convert into equity at ₹106 per share, which could lead to share dilution in the future. The 6.5% coupon is moderate, and the long 10-year maturity gives the company ample time before any conversion-related dilution occurs.