Oman's renaissance to raise $112 million from convertible bond

Oman’s renaissance to raise $112 million from convertible bond

Renaissance, a service provider to the oil and gas industry, plans to issue 423 million bonds, convertible at a price of 102 baisas each as part of the sale.

June 28, 2012 10:55 by Reuters

Oman’s Renaissance Services plans to raise $112.2 million through a mandatory convertible bond sale, the company said on Wednesday.

Renaissance, a service provider to the oil and gas industry, plans to issue 423 million bonds, convertible at a price of 102 baisas each as part of the sale.

“The company will be raising 43.16 million rials ($122.2 million) but has an option to accept an additional 9.180 million rials in case of oversubscription,” a company statement said.

The bond subscription will start on July 10 and will end on July 24, the company said, adding that the bonds will be listed in the Omani bourse 15 days after the end of subscription.

Renaissance will pay annual interest rate of 3.75 percent in the form of shares. Bank Muscat is the issue manager on the sale.

The company first announced plans for convertible bond issue in February.

(Reporting by Saleh Al-Shaibany)