JAKARTA (TheInsiderStories) – Singapore-based company, Global Prime Capital Pte. Ltd., has pay debt of US$300 million due on April 26, 2021. The senior notes were published in 2018 with a principal values of $250 million and interest rate 7.25 percent.
At the same time, the unit of PT Bumi Serpong Damai Tbk (IDX: BSDE) released a senior note with total values of $50 million with coupon rate 0.125 percent and three years of tenure. The funds are uses for business expansion, such as land acquisition, property development, infrastructure development, and other real estate project.
Last year, Global Prime Capital held a bond offering of $300 million with an interest rate of 5.95 percent and will be matured in 2025. The firm will use some of the proceeds to repay existing indebtedness and for working capital, and other general corporate purposes.
The group has tried to refinance the debt in years but the demand are weak. After hold for months, the company run the buyback bond again. During the tender offer period on August 27 to Sept. 2, 2019, the incoming bids only reached $161.83 million far from Singapore Stock Exchange rule at least $200 million. At Sept. 30, 2019, around 62 percent of developer‘ total debt was unsecured.
In the same year, Bumi Serpong Damai, has pocketed fresh funds worth of Rp1.23 trillion ($84.82 million) from the private placement after released 1.92 billion new shares or 10 percent of paid up capital with an exercise price of Rp640 a share. According to the director, Hermawan Wijaya, PT Paraga Artamida and PT Ekacentra Usahamaju absorbed the shares and increased their ownerships from 26.57 percent to 30.52 percent and 25.01 to 25.46 percent, respectively.
After the corporate action the number of the company shares will raises from 19.24 billion shares to 21.17 billion units. Established in 1984, the developer and its subsidiaries are engaged in the development, management and operation of residential townships, condominium towers, office buildings, retail malls and hotel properties.
The developer is sponsored by Sinarmas Land Ltd., has added share ownership in Bumi Serpong Damai from 59 percent to 60.07 percent. In 2020, the company‘ revenues dropped by 22.4 percent to S$910.47 million ($689.75 million) from the previous year of S$1.17 billion. The net profit also fell 24.8 percent on an annual basis to S$125.2 million.
The company is still pursuing a cautious optimistic strategy in 2021. The two units, Bumi Serpong Damai and PT Puradelta Lestari Tbk (IDX: DMAS) are targeting the marketing sales of Rp7 trillion and 2 trillion, respectively, in this year.
US$1: Rp14,500, S$1.32
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