JAKARTA (TheInsiderStories) – PT Elnusa Tbk (IDX: ELSA), a subsidiary of state-owned energy firm, PT Pertamina plans to issues SUKUK with total amounts Rp700 billion (US$48.28 million), said the company on Thursday (08/06). The Islamic bond has a five years of tenure and have a coupon rate around 9 percent per year.
The notes received an AA- (sy) rating from PT Pemeringkat Efek Indonesia. For the issuances, the oil and gas producers helped by PT Danareksa Sekuritas, PT Mandiri Sekuritas, PT Indo Premier Sekuritas and PT Trimegah Sekuritas Indonesia as underwriters.
The management of Elnusa said, the public offering period will be conducted on August 7 and listing on the Indonesia Stock Exchange will be carried out on August 12. According to the CEO, Ali Mundakir on July 22, the company will develop a more balanced business portfolio between the upstream and downstream of oil and gas services sector.
Investment in upstream oil and gas services will be prioritized in services that can directly generate business income such as non-asset based upstream oil and gas services. While, in the downstream oil and gas sector, investment will be focused on strengthening fuel depot facilities and facilities in order to support its parent.
Recently, he asserted, the triple shock is pressing the performance of many oil and gas service companies, both national and global levels. Especially due to the decline in oil prices and the pandemic. Therefore, said the CEO, the producer also make an adjustments by 25 percent from the initial targets at the beginning of the year.
His office also adjusted the investment costs in the midst of this situation. “We need to review and determine the priority scale. Therefore we revised the capital expenditure plan to Rp800 billion from the original plan of Rp1.4 trillion,” adds by Mundakir.
Elnusa was established under the name PT Electronika Nusantara on Jan. 25, 1969 before Pertamina finally became a shareholder of the issuer. The company providing services for oil and gas companies.
In the first semester (1H) of 2020, the company recorded operating revenues of Rp3.9 trillion, up 3.3 percent from Rp3.8 trillion in 1H of 2019. The operating profit also increased from Rp236 billion to Rp260 billion but the net profit fell 16 percent to Rp130 billion from previous year reached Rp150 billion.
“We are optimistic that our portfolio diversification will support one another and be able to maintain performance growth until the end of the year, “said Elnusa’ finance director, Hery Setiawan, in the official statement.
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