JAKARTA (TheInsiderStories) – Financial firm, PT Sinar Mas Multiartha Tbk (IDX: SMMA), has plans to releases a local bonds with a maximum target of Rp875 billion (US$59.12 million), said the company yesterday. The company will conduct a public offering on Oct. 15 – 19 with a target of listing on the Indonesia Stock Exchange (IDX) on Oct. 26.
The notes divided into two series. Series A worth of Rp1 billion with a 9 percent coupon and will mature on Oct. 23, 2023. While, Series B with a principal amount of Rp874 billion has a coupon of 10.25 percent with a 5-years tenure. PT Sinarmas Sekuritas acted as the underwriter of the bond issuances.
Early of this year, Sinar Mas Multiartha sold 15 percent of PT Century Tokyo Leasing Indonesia shares to PT Lippo Securities Tbk (IDX: LPPS). The transaction has valued Rp66.32 billion and has been signed on Jan. 20, 2020.
On Sept. 28, 2016, the insurer bought a 15 percent stake in the leasing company by paying Rp45 billion in capital. After the share sale, said the director, Kurniawan Udjaja, 85 percent of the leasing company shares still hold by Japan’ Tokyo Century Corp.
The buyer, Lippo Securities owned by PT Inti Anugerah Pratama, a holding company belong to Riady family (67.5 percent). In 2019, the Lippo Group’ investment manager company has turn its main business activities into a holding company of a financial conglomerate that oversees several companies in the financial services sector.
Since 2017, Tokyo Century has made a strategic partnership with Lippo Group, by investing about $116 million in PT Bumi Cakrawala Perkasa (BCP), an electronic money and point services company and shareholder of PT Visionet International, focusing on providing IT backbone services through OVO applications.
The Chinese-Indonesian conglomerate primarily covering real estate business, retail, IT and mass media, hospital and finance. Over 400 affiliates in Indonesia and overseas (20 companies are listed). While, Tokyo Century managed three companies namely PT Century Tokyo Leasing Indonesia, PT TCT Indonesia and PT Hexa Finance Indonesia.
While, the unit of the Sinar Mas Group, has become a shareholder of PT Bank China Construction Bank Indonesia Tbk (IDX: MCOR), a merged bank between PT Bank Windu Kentjana International Tbk. and PT Bank Antardaerah in 2016. The company also has acquired 15 percent shares of PT Sinar Mitra Sepadan Finance, a finance company controlled by Japan’ ORIX Corporation with worth of Rp96.19 billion.
Century Tokyo Leasing was established in February 2011 through a joint venture between Tokyo Century, Century Tokyo Leasing Corp., and PT ITC Auto Multi Finance. In Indonesia, the company provides investment, working capital, multipurpose, and other financing facilities.
Based on the financial statements for the first quarter of 2020, the company recorded a net profit of Rp358.60 billion, or down 20.77 percent compared to the same period of last year worth of Rp452.62 billion. The revenues also corrected by 12.64 percent to Rp8.08 trillion in the same period.
The issuer was established in 1982 under the name of PT Internas Arta Leasing Company. On May 1, 1989, the company changed its name to PT Internas Arta Finance Company and in 1995 changed its name to Sinar Mas Multiartha. Starting May 30, 1996, the Company expanded its line of business to trade, industry, transportation, real estate, and services.
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