Medco issues $300m bond

IDX-listed energy company PT Medco Energi Internasional Tbk announced Friday it has issued a 5NC3 S144A Reg S bond for US$300 million with a final coupon of 8.5 percent.

The company said in a statement that international rating agencies Moody?s assigned B2 rating for the company and the bond, while Fitch and Standard & Poor?s assigned B ratings, all with stable outlook.

Medco said that the proceeds from the bond issuance will be used to refinance existing debts.

?With this successful transaction, we?re able to extend the average age of our debt maturity and access a new source of funding for our future developments,? said Medco President Director Hilmi Panigoro in the statement.

Editing by Reiner Simanjuntak