Indian metals and mining group Vedanta Resources raised $725 million late on Monday January 23 from the sale of 20-year convertible bonds that received a controversial reception from the CB community. The deal, which includes a $125 million greenshoe, has an unusual conversion feature that made some investors reluctant to participate and the bonds traded down in the over-the-counter market yesterday.
The London-listed group mandated the deal to Barclays Capital, which went on to price it on a 4.6% coupon and 48% conversion premium to Monday's VWAP Volume Weighted Average Price. This represented the cheap end of a range, which spanned 4.1% to 4.6% for the coupon and a 48%...
