Plethico Pharmaceuticals Case Review

In 2013, Plethico Pharmaceuticals Ltd. faced a very serious issue where it had to contemplate the redemption of the convertibles that had run overdue. The foreign currency convertible bonds were issued in 2006 when the company intended to acquire Natrol. This American-based company would open the American window for Plethico Pharmaceuticals into the American market. Plethico Pharmaceuticals raised a total of USD 75 million (INR 2.97 billion) from the foreign market. The USA and British markets are heavily regulated, and Plethico Pharmaceuticals strategized that by acquiring Natrol Inc, the company would gain less resistance in the regulated markets.