Tata Steel Overseas Issue Priced At $21.7/Share

India''s Tata Steel Ltd. has priced an issue of Foreign Currency Convertible Alternative Reference Securities at an initial conversion price of 876.6225 rupees ($21.7) per share. The price is at a premium of 35 percent to its closing share price on India''s National Stock Exchange on August 6.

The issue, to raise up to $725 million, was oversubscribed by more than two times and has a greenshoe option of $150 million which has not been exercised. The securities, which will be listed on an overseas stock exchange, carry a 1 percent coupon and the effective yield to maturity is 5.15 percent. Citigroup was the sole global coordinator and book runner to the issue, with joint book runner ABN AMRO Rothschild and Standard Chartered Bank.