Cable and satellite operator Zee Telefilms followed Tata Motor into the convertible bond market yesterday Tuesday with a smaller but only marginally less aggressive convertible bond deal. Terms for the $85 million deal were pitched either side of parity, then priced through it after order books closed more than 10 times covered despite a 10% cap on individual orders.
Such a reception might seem surprising given the initial trading pattern of Tata's two tranche deal, which fell below par before recovering slightly at the end of Asia's trading day. However, observers say Zee's pricing fell on the sensible side of aggressive and bought valuations back within the realms of reality after Tata pushed...
