Antam to issue bonds worth Rp 4 trillion

State nickel and gold miner PT Aneka Tambang Tbk (Antam) plans to issue fixed-rate sustainable bonds worth Rp1.5 trillion. This is the first batch of the planned bonds sale to be launched by the company worth Rp4 trillion in total.

The bonds will comprise of two series: A-series bonds with a tenor of seven years and B-series bonds with a tenor of 10 years. The coupon payment will be made quarterly.

Of the bonds sale, around Rp450 billion will be used for routine investment, while Rp1.05 trillion will be used for business expansion.

The company said of the total planned sale of Rp 4 trillion, around Rp800 billion, or 20 percent of total bond proceeds, will be used to support the construction of facilities as well as to purchase machines. About 80 percent or Rp3.2 trillion will be used for business expansion.

The company has appointed PT Deutsche Securities Indonesia, PT Mandiri Sekuritas and PT Standard Chartered Securities Indonesia as underwriters of the bonds issue. The offering date has been set on 6-9 December 2011 and followed by listing on the Indonesian Stock Exchange on December 15, 2011. (romel)