Firstsource Solutions FCCBs

Firstsource Solutions Ltd has informed that with regards to the earlier announcement dated October 23, 2007, informing about the decision of Board of Directors to issue Foreign Currency Convertible Bonds (FCCBs) of USD 275 million, the Company has further informed that it has priced and launched the issue on November 06, 2007. The principal terms of issue of FCCBs are as under:

- Issue Size : USD 275 Million

- Coupon Rate : 0.00%

- Yield to Maturity : 6.75% p.a. calculated on semi annual basis

- Reference Share Price : Rs 68.3654 per share (Volume weighted average price on NSE as on November 6, 2007)

- Conversion Premium : 35.00% above the reference share price

- Conversion Price : Rs 92.2933 per share

- Pricing Date : November 06, 2007

- Maturity Date : On or about December 04, 2012 (5 year & 1 day)

- Closing / Settlement Date : On or about December 03, 2007

The issue of FCCBs is firmly underwritten and is subject to approval of shareholders of the Company at the Extra-ordinary General Meeting to be held on November 22, 2007.

In this regard the Company has issued the following Press Release:

"Firstsource Solutions Ltd has launched and priced a Zero coupon Foreign Currency Convertible Bonds ("FCCB") offering for an amount of US$ 275 million, subject inter alia to obtaining shareholder approval. The funds will be utilized towards the repayment of the US$ 275 million debt contracted at LIBOR plus 250 bps for its recent acquisition of MedAssist Holdings Inc.

The FCCBs, which have a maturity of 5 years and 1 day, are convertible at a conversion price of Rs 92.2933 per share, which is at a premium of 35% over the volume weighted average price of Rs 68.3654 on NSE on November 06, 2007. The FCCBs, if not converted into shares during the period, will be redeemable on expiry at a yield to maturity of 6.75% per annum, calculated on a semi-annual basis. The FCCBs are expected to be listed on the Singapore Exchange Securities Trading Ltd. JP Morgan and ICICI Bank acted as the joint book-runners to the transaction."