RBI/2008-09/461 A. P. (DIR Series) Circular No 65 dated 28th April 2009
The total amount of permissible buyback of FCCBs, out of internal accruals, is increased to USD 100 million (from erstwhile USD 50 million) of the redemption value per company, under the approval route by linking the higher amount of buyback to larger discounts. Accordingly, Indian companies may henceforth be permitted to buyback FCCBs up to USD 100 million of the redemption value per company, out of internal accruals, with the prior approval of the Reserve Bank, subject to:
| Minimum Discount on Book Value | Maximum Redemption Value |
| 25% | USD 50 million |
| 35% | USD 50 to 75 million |
| 50% | USD 75 to 100 million |
0 comments:
Post a Comment