Bumi pays $600m of loan to CIC
Tuesday, November 8 2011 - 07:30 PM WIB
UK-listed firm Bumi plc announced on Tuesday that its associate, PT Bumi Resources, has completed pre-payment, 2 years early, of US$600m of the $1.9 billion outstanding loan to the China Investment Corporation.
The intention to pre-pay $600m was announced on 17th August 2011. PT Bumi has refinanced the $600m through a consortium of banks, led by Barclays Capital, Bank of America Merrill Lynch, JP Morgan and Deutsche Bank at an interest rate of LIBOR plus 6%, the company said.
The effect of the debt refinancing is reducing PT Bumi's annual interest expense by around $72m. The remainder of the $1.3 billion CIC debt is pre-payable from October 2012 ($600m) and October 2013 onwards ($700m), it added. (alex)