JAKARTA (TheInsiderStories) – The state-owned firm, PT Waskita Karya Tbk (IDX: WSKT) need funds up to Rp20 trillion (US$1.43 billion) to complete the construction a number of toll roads across the archipelago, it said on Thursday (01/21). Now, the company is reviewing several options to fulfill the needs, including strategic partnerships and toll road divestment.
The CEO, Destiawan Soewardjono, said the constructor targeting to build 1,087 kilometers (km) in five years with a total investment of Rp180 trillion. As of today, the builder has 17 toll roads, which is five are fully operational, seven are partially operating, and five concessions are still under construction.
He explained that Waskita had explored a number of potential partners for Kayu Agung – Palembang – Betung toll road with length 111.69 km located in South Sumatra, Then, several toll roads around the Greater Jakarta, such as the 16 km’ Bekasi – Cawang – Kampung Melayu section also the Ciawi – Sukabumi section along 54 km.
For the divestment program, the issuer targeting to sell shares of 11 toll roads in this year. Soewardjono also said, to support the company’ business expansion, the state firm prepared a capital expenditure of around Rp11 trillion, mostly for toll road projects.
Waskita is also negotiating the debt restructuring with the creditors, which hope to reach an agreement in the first quarter of 2021 to improve its financial liquidity. The negotiation process has been running since the fourth quarter of 2020, he adds. On February, the publicly listed firm also preparing bondholders meeting to negoatiates the maturing bonds worth of Rp2.83 trillion.
Soewardjono emphasized that currently the company also involved in 44 strategic projects including connectivity, water resources, electricity, and building projects that have been determined by the government. Some of the projects have been completed and some are still in the construction stages.
Several National Strategic Projects (NSP) that have been completed by Waskita are the Jakarta – Cikampek elevated toll road, Kanci – Pejagan – Pemalang – Batang – Semarang toll road, the Solo – Ngawi – Kertosono toll road, the Salatiga -Kartasura toll road, terminal 3 of Soekarno – Hatta Airport, Ahmad Yani Airport, Kertajati Airport, and Gondang Dam.
In Sumatra, the builder has completed the Medan – Kualanamu – Tebing Tinggi toll road, Kuala Tanjung Terminal, the Bakauheni – Terbanggi Besar toll road, the Terbanggi Besar – Kayu Agung toll road, and the South Sumatra light rapid transit projects.
Then, in Kalimantan and Sulawesi, the projects has been done by Waskita are Balikpapan – Samarinda toll road and the Manado – Bitung toll road. And in Nusa Tenggara, the Raknamo Dam.
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