Govt approves PLN?s $2 billion bond offering plan
Tuesday, July 12 2011 - 03:00 AM WIB
State owned electricity company PLN has received the go ahead from the government to issue global bonds worth up to US$2 billion to help finance the company?s expansion projects, Bisnis Indonesia reported on Tuesday.
State Minister of State Enterprises Mustafa Abubakar said in Jakarta Monday that his office had in principle approved PLN?s plan to sell bonds worth about $2 billion. ?I hope the formal approval can be issued soon,? he added.
The minister said that the electricity company had formally submitted the proposal for the issuance of the bonds which have a maturity period of up to five years. He understood that the company would need the funds to finance its expansion plans.
PLN?s president director Dahlan Iskan said earlier that PLN had named Barclays Capital, Citi, HSBC Securities, and UBS Securities as underwriters of the bond offering. He said that the bonds would be issued this year. (*)