ANTAM lends Rp 30.4b to subsidiary
Friday, November 22 2013 - 10:00 AM WIB
IDX-listed state owned miner PT ANTAM Tbk has handed a loan worth Rp 30.4 billion to its steel subsidiary PT Meratus Jaya Iron & Steel (MJIS).
The loan is effective from Oct. 25, 2013 with a maximum tenor of one year and an interest of 10 percent per year, the firm said in a statement filed with the Indonesian Stock Exchange on Friday.
The short-term loan is aimed to strengthen MJIS? cashflow to purchase raw materials for production, materials related to operation and others.
MJIS is a joint venture between ANTAM and IDX-listed steelmaker PT Krakatau Steel Tbk with a share composition of 34 percent for ANTAM and 66 for Krakatau. According to MJIS? website, the firm is designed to be an integrated iron and steel company, which will produce mining products needed by the steel industry (iron ore and coal) and process them into steel and iron. The firm is now developing Kalimantan Ironmaking Project in in Batulicin, Tanah Bumbu Regency of South Kalimantan province.
Editing by Johannes Simbolon