Jubilant Life pays off IFC loan

Jubilant Life Sciences' informed the bourses that its wholly-owned subsidiary Jubilant Pharma has fully redeemed the outstanding zero coupon convertible loan with mutual agreement with International Finance Corporation.

The company has paid a one-time settlement amount of US$135 million, on Friday. Lately, Jubilant Pharma had raised unsecured bonds of US$200 million which was utilised for the repayment of the said loan.

Consequently, the obligation to provide an exit to IFC by equity conversion of the convertible loan has been cancelled. Post this payment, the company has paid off all the loan secured from International Finance Corporation.

Earlier, the company's API manufacturing facility in Nanjangud, Mysore was classified as Official Action Indicated (OAI). The USFDA also stated that the facility might be subject to a cGMP regulatory or enforcement action based on this inspection and that FDA could withhold approval of any pending applications or supplements in which this facility is listed.

Also, the USFDA issued Warning Letter for company's Roorkee facility, India on March 8.

On Monday, the stock opened at Rs. 674.70 per share and rallied by 2.5% per cent and made an intraday high of Rs. 680.95 per share on the BSE.