JAKARTA (TheInsiderStories) - State lender, PT Bank Negara Indonesia Tbk (IDX: BBNI) set the dividend pay out ratio 25 percent of 2020 equal to Rp812.5 billion (US$56.42 million), said the CEO, Royke Tumilaar, in a press conference on Monday (03/29). Last year, one of the largest bank in the country, posted a net profit Rp3.3 trillion, fell 78.54 percent from 2019 of Rp15.38 trillion.
Total loans only grew 5.3 percent to Rp586.2 trillion compared to 2019 and fee-based income Rp11.9 trillion or a 4.5 percent growth from the same period of last year. He optimistic, in 2021, lending grow 6 - 7 percent than last year after through a tough challenges during the pandemic.
To support the planned, Bank Negara Indonesia has issued the tier 2 US Dollar-denominated bond worth of $500 million with an interest of 3.75 percent per annum and tenure five years. The issuance is targeting to be completed on March 30, 2021. Moody’s Rating and Fitch has gave a Ba2 and BB rating for the bond. The joint global coordinator and book-runners for the issuance are HSBC and Citigroup.
The subordinated notes will be the first issuance made by the company under the Euro Medium Term Note program, which was formed on May 6, 2020. Under the program, the issuer can offer the notes gradually with a principal amount of up to $2 billion. Director finance at the bank, Novita Widya Anggraini, said the issuance of these bonds to strengthen the capital structure and comply the regulation.
On May 12, 2020, Bank Negara Indonesia has released a Euro Medium Term Notes (EMTN) program worth a total of $2 billion on the Singapore Stock Exchange for capital and loans expansion. The company also has issued negotiable certificates of deposits with worth of Rp2.39 trillion ($165.97 million) divided in five series.
Series A have a nominal value Rp430 billion with tenure three months and discount rate 6.3 percent per annum. Series B with total amount Rp250 billion have a discount rate 6.5 percent and a six month tenure. Series C with tenure nine months and a discount rate of 6.59 percent worth of Rp50 billion. Series D with a nominal Rp1.6 trillion with one year tenure and a discount rate 6.69 percent.
Finally, the Series E was issued with value of Rp50 billion have a discount rate of 6.79 percent and one year tenure. Bank Negara Indonesia stated its eager to acquire bank, multi finance and general insurance firm in this year. For the actions, the bank prepared funds up to Rp4 trillion.
In addition to these two types of company, the lender also intends to buy multi-finance to further expand the scope of existing businesses. Currently, the local bank has five subsidiaries namely PT BNI Syariah, PT BNI Life, PT BNI Multifinance, PT BNI Securities and PT BNI Asset Management.
US$1: Rp14,400
Written by Editorial Staff, Email: theinsiderstories@gmail.com
