Subex said the Reserve Bank of India has approved the restructuring proposal of its outstanding foreign currency convertible bonds (FCCBs) involving a combination of debt and equity.
The company will soon launch a cashless exchange offer wherein the current FCCBs will be exchanged for new FCCBs with a maturity period of 5 years and fresh equity.
“This restructuring proposal has been formulated with the active support of our existing bondholders,” said CEO Subash Menon. “We are confident that with their continued support, we will be able to complete the restructuring in the next 45-60 days.”
He added that the planned bond swap is expected to put to rest all concerns about Subex’s financial stability.