FCCB Full Form Explained

In the financial field, FCCB stands for Foreign Currency Convertible Bond.

This is a specific type of bond with key characteristics:

• Foreign Currency: The bond is issued and must be repaid in a currency that is different from the domestic currency of the issuing entity.
• Convertible: Investors holding the bond have the right to convert it into a predetermined number of equity shares of the issuing company.
• Bond: It represents a debt instrument where the issuer borrows money from the bondholder, promising to repay the principal amount along with periodic interest payments.

FCCBs are often utilized by companies, especially in emerging markets like India, to raise capital from international investors.