Jain Irrigation Systems Ltd.

CORPORATE

Shareholders approve Rs.1100 crore Jain Irrigation’s Fund Raising 

Oct 3, 2012

Jalgaon :  At the Extraordinary General Meeting of Jain Irrigation Systems Ltd. held on 1st October 2012, the shareholders accorded approval to the Company’s fund raising exercise.  The Company is raising Foreign Currency Convertible Bonds aggregating US$ 55 million (approx. Rs.3055 million); Equity Shares amounting to US$ 73 million (approx Rs.4050 million and LIBOR linked External Commercial Borrowing (ECB) of US$ 75 million (approx Rs.4165 million).

Addressing the shareholders at the EGM, Shri Anil Jain, Managing Director and Chief Executive Officer of the Company said that these funds amounting to Rs.1100 crores will flow in within the next two weeks. He said that the Company is paying nearly Rs.400 crores annually by way of interest and this fund raising exercise will reduce the annual interest outgo by around Rs.80 crore.

He added that looking at the special stature of the Company, which has made a significant contribution in the agricultural sector, International Finance Corporation (IFC), part of the World Bank Group and other global developmental financial institutions and investors are extending financial assistance to the company at attractive terms.

Jain Irrigation Systems Ltd. is the largest company in Asia and the second largest in the world in the field of drip irrigation.  Recently, it was awarded the prestigious “G20 Challenge on Inclusive Business Innovation” award, which recognizes businesses that have succeeded in developing innovative, scalable and commercially viable inclusive business models that addresses the particular needs of people living at the base of pyramid.