Medco to launch international road show

Publicly listed PT Medco Energi Intenational Tbk will soon carry out a road show in the world?s major cities to promote its Yankee bonds which will be issued this year to partly finance its expansion program, Koran Tempo daily reported on Monday.

Medco?s finance director Sugiharto said in Jakarta over the weekend that the road show would be carried in April in the word?s major cities including New York, Boston, Los Angeles, London, Hong Kong and Singapore.

The road show would be part of important steps before the company decided the value of the bonds to be issued, he said. "We should first know the interest of investors before we decide the amount of money to be raised from the Yankee bonds and its coupons," he added.

Medco has yet to decide the value of the U.S dollar denominated bonds which would be floated on one of the U.S. stock exchanges but the company earlier unveiled that the value could reach about US$ 150 million.

The funds to be raised from the bond issuance would be used to back up the company?s expansion plan which would include acquisition of several oil and gas fields in the country. The expansion plan is estimated to absorb funds amounting to about US$300 million or equivalent to about Rp 2.7 trillion. (*)