Indonesia’s Express Transindo to Issue New Shares worth US$70.42M on Mid-May
Customer of TAXI - Photo by Express Transindo

JAKARTA (TheInsiderStories) – Bondholders of taxi provider, PT Express Transindo Utama Tbk (IDX: TAXI) approved the conversion of bond payment to new shares worth of Rp1 trillion (US$68.96 million), said the company today (01/03).

Based on information from the Indonesia Stock Exchange, TAXI will issues 10 billion shares with the exercise price of Rp100 a share. The share value is equivalent to 466.07 percent of the company’s issued and fully paid capital, said the company.

The new shares will be converted gradually. For the first phase, the operator will issued 4 billion new shares with total amount of Rp400 billion. Then, the second phase will be issued on Dec. 31, 2020.

in June 2018, the Indonesia Stock Exchange (IDX) has suspended the trading of Express Transindo shares and bonds in all market, as the company is late to pay bonds interest. Previously, the bourse also suspended the TAXI’ trading on March 26, 2018. However, the IDX revoked the suspension as TAXI paid the bond’s interest on April 2018.

At the same time, Credit rating agency PT Pemeringkat Efek Indonesia downgraded TAXI rating bonds issued in 2014 to D from BB-. The company has issued bonds worth Rp1 trillion with a coupon of 12.25 per cent per annum that are due to June 24, 2019.

PEFINDO also downgraded the company’s corporate rating to selective default from BB-. It means the company failed to pay one or more of their financial obligation but will continue to make payment on other obligations.

End of 2018, Mitra Krakatau Pension Fund, one of TAXI‘ bondholders, requested a bankruptcy proposal to the local court, cause unable to fulfill its obligations to pay interest on 2014′ bonds. The requested sent to the Central Jakarta District Court on Dec. 6.

The Rajawali Corpora‘ unit conducts business activities in the field of land transportation under Express Group. The group operates Express and Eagle brand taxis for Jakarta areas, Surabaya, Semarang, Medan and Padang.

US$1: Rp14,500

Written by Staff Editor, Email: theinsiderstories@gmail.com

LEAVE A REPLY

Please enter your comment!
Please enter your name here