JAKARTA (TheInsiderStories) – Multi-finance firm owned by United States’ TPG and Northstar Group, PT BFI Finance Indonesia Tbk (IDX: BFIN), has planned to release bond around Rp6 trillion (US$429 million) in early 2021. In September of this year, the issuer has released Rupiah bond worth of Rp832 billion.
The company belong to Patrick Walujo and Glenn Sugita also has an obligation to refinance Rp400 billion of debt in this month and Rp1 trillion in March 2021. The debt repayment for this month, he adds, will use internal cash.
Director of finance of BFI Finance, Sudjono, said in an official statement, until third quarter of 2020, total loans of the company recorded Rp9.63 trillion or decreased by 15.4 percent compared to a year ago. In annual basis, the lender’ equity also edged down 3.1 percent to Rp6.29 trillion and total assets of Rp16.74 trillion or dropped 10.4 percent from 2019.
Until August, the financial firm’ non-performing financing (NPF) ratio trend is still below the average of the financing industry. According to Financial Service Authority data, the NPF of the company was recorded at 5.23 percent.
In nine months, BFI Finance posted net financing receivables of Rp13.52 trillion and 71.2 percent dominated by used car financing. While, other financing receivables consists of 14.3 percent on heavy equipment and machines 9.9 percent for motorbikes, followed by new cars, property-backed financing, and sharia lending 4.6 percent.
The company has booked three series of funding throughout 2020. On March 17, 2020, the company signed a syndicated loan agreement of $100 million. Then, on August 26, 2020 issued local bond worth of Rp832 billion. And now to release other Rupiah bond worth of Rp6 trillion.
In nine months, BFI Finance recorded a net profit of Rp520.53 billion, fell by 52.24 percent from a year ago. However, until the end of 2020, the issuer believed that the net profit will still be able to record a positive results.
Two years ago, Trinugraha Capital & Co., an investors’ consortium led by TPG Capital, Northstar Equity Partners, and Trinugraha Capital SA has intended to sell its ownership in the financing company. But until today, there are further explanation on the planned.
BFI Finance was set up in 1982 as PT Manufacturer Hanover Leasing Indonesia, a joint venture between Manufacturer Hanover Leasing Corporation from the United States and local partners. After the Asian Financial Crisis, the company officially changed its name to PT BFI Finance Indonesia Tbk.
Today, the financial firm is 42.8 percent owned by the consortium of Trinugraha Capital and the remaining shares are hold by local and foreign institutional shareholders, as well as public. The investors entered BFI Finance in 2011 under a consortium led by Thohir. The transaction value of share purchase was Rp1.44 trillion at that time.
TPG Capital is one of the global investment units of TPG, established in 1992 with total assets reaching $48 billion and Northstar is a financial investment company focusing on Indonesia.
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