Indonesian food and beverages firm, PT Mayora Indah Tbk (IDX: MYOR) issued bonds amounting to Rp500 billion (US$34.01 million) - Photo by the Company

JAKARTA (TheInsiderStories) – Indonesian food and beverages firm, PT Mayora Indah Tbk (IDX: MYOR) issued bonds amounting to Rp500 billion (US$34.01 million). The notes have four series with tenure of 370 days, four, five and seven years.

The initial bond offering period will take place on August 14 – 25, public offering is scheduled on Sept. 2 – 4, and to be listing around first week of next month. The issuer is possible to buyback part or all of the bonds before the date of repayment of the principal.

The company has appointed PT Indo Premier Sekuritas, PT Mandiri Sekuritas, and PT RHB Sekuritas as joint lead underwriters for the bond issuances. The bond was received an AA rating from PT Pemeringkat Efek Indonesia.

All funds obtained from the bond will be used to provide loans to its subsidiary, coffee producer, PT Torabika Eka Semesta for working capital financing, such as purchasing raw materials, packaging materials, and paying for other operational costs that may arise.

Through the unit, Mayora has export instant coffee to Russia with worth of $40 million in 2019, an increased . The company seeing an increase in export demand of instant coffee in 2018 with worth of $20 million, a 30 percent increased compared to previous year.

According to president director, Andre Atmadja, the company looking for a larger export of coffees and snacks to Russia. Since exporting to Russia in the past five years, he said, the issuer’ business growth could grow 30 percent per year.

“Why did Russia? First, because Russia has a high population, which is the 9th rank in the world and has a good level of economic growth, where their GDP is ranked 11th in the world,” he told reporters last year.

Torabika also has expanding its market to Uzbekistan and Kyrgyzstan with Torabika Cappuccino. Since 2018, Torabika Cappuccino has begun serving its coffee to consumers in the both countries.

As informed, the Group its founding in 1977 and has been circulating in more than 100 countries with a total of 250 thousand containers exported. Strategic markets include the Southeast Asian, China, India, Middle East, United States, Iraq and Palestine markets.

The first factory located in Tangerang with a target market for the Jakarta and surrounding areas. After being able to meet the Indonesian market, Mayora made an initial public offering in 1990.

US$1: Rp14,700

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