JAKARTA (TheInsiderStories) - The business holding firm, PT Bakrie & Brothers Tbk (IDX: BNBR), will complete the debt restructuring with a total value of Rp10 trillion (US$709.22 million), said the CEO today. The issuer also announced to prepared capital expenditure around Rp300 billion in 2021, mostly for downstream projects and manufacturing.
The CEO, Anindya Novyan Bakrie, said in a virtual public expose on Thursday (17/12), stated, “Most likely it can be implemented in 2021 so that it can make our bookkeeping better and lighter.”
Most of the debt, Rp8 trillion, received from Glencore International AG and the others Rp1.5 trillion was from Eurofa Capital Investment and is currently in the negotiation stage with creditors. Bakrie‘ total liabilities in the first nine month recorded Rp13.43 trillion, from last year was Rp12 trillion. These liabilities consist of short-term liabilities of Rp12.49 trillion and long-term liabilities of Rp946.14 billion.
The director, Roy Hendrajanto Sakti, said most of the capital expenditure will be allocates for infrastructure and digital business. While, Anin, the nickname of the CEO, added most of the funds will allocates for maintenance, infrastructure, renewable energy, and digital services businesses, especially in the Internet of Things sectors.
Four new businesses will become focuses of the company starting next year are electric bus through its subsidiary, PT Bakrie Autoparts, for use in Jakarta, Central Java, East Java and Bali provinces. The electric bus to be tested commercially by the regional firm, PT Transjakarta. The company hopes that mass orders can be accepted after the trial implementation process end in this year.
Second, the Solar Power Plant through PT Bakrie Power by develop the new and renewable energy industry sector, especially the use of solar energy. The group is committed to playing a role as a provider of solar energy services for industrial needs.
Third, housing projects through PT Bakrie Building Industries that focuses on the National Strategic Project and commercial houses. And fourth, the internet businesses via PT Multi Kontrol Nusantara.
In May, the consortium of PT Bakrie Capital Indonesia, PT Ithaca Resources, and an American international corporation, Air Products has formed a strategic alliance to build a methanol industry worth more than $2 billion in Batuta Industrial Chemical Park, in Bengalon, East Kutai Regency, East Kalimantan.
Based on the long-term contract, the company under the Bakrie Group and Ithaca Resources will supply coal raw materials and have committed to take over the production of methanol to be marketed in Indonesia. Coal supplied from PT Bumi Resources Tbk (IDX: BUMI) and Ithaca Resources and then processed by Air Products’ production facilities to be produced into methanol.
This facility will be able to produce nearly 2 million tons of methanol per year produced from nearly six million tons of coal per year.
Written by Staff Editor, Email: theinsiderstories@gmail.com
