Castex Tech slips 88% in 3-mth, gets bond conversion notice

Moneycontrol BureauShares of Castex Technologies has locked at 5 percent lower circuit on Monday as the company has received conversion notice of USD 7.8 million bonds.Allotment committee of the company, on September 25, allotted 3,06,83,403 equity shares of Rs 2 each at the fixed conversion price of Rs 103.005 per share.The company has already converted bonds of USD 13.40 million pursuant to various conversion notices received voluntarily in the past. Hence, with the present allotment of shares pursuant to conversion of bonds of USD 56.60 million, the issue of USD 70 million 2.5% FCCB has fully been converted into shares of the company which has resulted in the conversion of debt of USD 70 million into equity, as per BSE filing.The share price tumbled 88 percent in the last 3 months. The capital market regulator Securities Exchange Board of India (SEBI) had started an investigation into possible manipulation of company's share price through forcible conversion of foreign bonds.The share touched its 52-week high of Rs 362 on 13 July, 2015 and currently it is trading 93.26 percent below its high.At 10:06 hrs Castex Technologies was quoting at Rs 24.40, down Rs 1.25, or 4.87 percent. It has touched a 52-week low of Rs 24.40 on the BSE. Posted by Rakesh Patil