JAKARTA (TheInsiderStories) – Indonesian fertilizer producer PT Pupuk Indonesia offered Rupiah bonds up to Rp3.6 trillion from a total target in two years term Rp 10 trillion. The unsecured debt securities has received an AAA rating from Fitch Ratings.
The bonds divided into two series, Series A with three-years tenure and series B seven years. The company has appointed PT Bahana Securities, PT Bank Securities, PT BNI Securities, PT Danareksa Sekuritas and PT Mandiri Sekuritas as underwriters for the bond issuance.
As planned, due Diligence Meeting and Public Expose held on June 12, the offering period took place on June 12 to 20, the effective statement from the Financial Services Authority is expected to be issued on June 23, the book-building on July, 4 and to be listed on the Indonesia Stock Exchange (IDX) on July 13.
Pupuk Indonesia plans to use 16 percent of the proceeds to repay the bond I Pupuk Indonesia 2014 and the remaining was allocated for its unit PT Pupuk Sriwidjaja Palembang, which will be used to partially repay the investment loan.
The company is the largest fertilizer and other petrochemicals producer in Southeast Asia, where as much as 100 percent owned by the Indonesian government. Pupuk Indonesia which is strategic and investment holding has a number of subsidiaries, including PT Pupuk lskandar Muda, PT Pupuk Sriwidjaja, PT Pupuk Kujang, PT Pupuk Kalimantan Timur.
In addition, other subsidiaries are PT PKG, PT Engineering Industries, PT Pupuk Indonesia Food, PT Mega Eltra, PT Pupuk Indonesia Logistics, Energy and PT Pupuk Indonesia. Teh company’s vision is to become an integrated agrochemical and food, sustainable and world class.
In 2016, the company fertilizer sales for the food sector totaled 9.18 million tons, an increase over 2015 of 8.88 million tonnes. The plantation productions fell to 1.54 million tonnes from 2.03 million tonnes.
While, the exports rose to 1.37 million tons from 844.7 thousand tons of ammonia rose to 1 million tons from 8791 thousand tons. The total volume of sales on the domestic market in 2016 fell slightly to 11.07 million tons, compared to 2015 amounting to 11.14 million tons. Non-domestic rose to 2.02 million tonnes from 1.49 million tonnes.
The company’s revenue in 2016 reached Rp 64.16 trillion, down compared to 2015 amounting to Rp 66.23 trillion. Gross profit increased to Rp 12.19 trillion from Rp 12.07 trillion. Operating profit rose to Rp 7.66 trillion from Rp 6.62 trillion. While profit for the year grew to Rp 3.52 trillion from Rp 3.39 trillion.
(Written by Brigita Ernestina, Email : Flo@theinsiderstories.com)