Dr Reddy's has lined up a USD 235 million ADR issue in the US market, reports CNBC-TV18.
It had filed the ADR document yesterday, with the Securities and Exchange Commission in the US.
The company will use the money to clear a substantial portion of the debt, which arose from its acquisition of Betapharm. Following the acquisition, the company's debt had increased to about Rs 2,093 crore or USD 465 million.
This is the second ADR float from the pharma major, which is already listed on the NYSE.
Analysts say the issue would result in an equity dilution of 8.8%. After the issue, American Depository Shares will account for 20.8% of the company's total equity.
This is the second ADR float from the pharma major, which is already listed on the NYSE.
