See sales growth of 80-100% in Q3 FY10: FCS Software

Here is a verbatim transcript of an exclusive interview with Dalip Kumar on CNBC-TV18. Also watch the accompanying video.
 
Q: You have just concluded a global depository receipt (GDR) issue, can you take us through how much you raised and at what price?

A: Yes, we have been through our GDR successfully. We have raised USD 24 million at a price of Rs 11.10 per share. The GDR has been successfully closed last week.

Q: Rs 11.10 is the corresponding price, that is a very significant discount. Did you need to do an issue at that kind of a discount – 30% lower than your price prevailing in India?

A: The market price of a GDR is based on a formula that is decided on an x date and the price prevailing two weeks before that so at that time the price prevailing was that range only. So I think the pricing is done based on the formulas and the window that defines this range.

Q: What will you do with this USD 24 million? How do you plan to deploy it?

A: This is a very good time for us. In the initial public offering (IPO) we have raised very-very small amount of Rs 10-15 crore and we have been very orthodox in our investments at that time. Now, with this kind of money we would be very aggressive in terms of building new relationships in terms of being just a US centric company, we will be going towards Middle East and Europe. So I think this is going to give us a lot of mileage in terms of building our company in new geographies and new verticals. The kind of relationship— joint ventures and partnership that we have putting in place, we are looking at a very aggressive results coming in this quarter end as well as next quarter.