PEFINDO has affirmed its idA+ rating for PT Jasamarga Pandaan Toll (JPT)

(October 13, 2022)--PEFINDO has affirmed its idA+ rating for PT Jasamarga Pandaan Toll (JPT) and its idA+(sy) rating for its Sukuk Ijarah Year 2019. The outlook for the corporate rating is positive, mirroring the rating outlook of its ultimate owner PT Jasa Marga (Persero) Tbk (Jasa Marga, idAA-/Positive). Jasa Marga’s positive outlook reflects anticipation for better capital structure and cash flow protection measures with its plans to deleverage its debt using proceeds from its corporate actions in the near term.

JPT’s corporate rating reflects its very strong likelihood of support from Jasa Marga. JPT’s standalone credit profile does not drive the rating, which reflects its strong economy of service area, relatively strong EBITDA margin on a sustained basis, and exposure to traffic volume volatility on single toll road asset.

Any rating action for Jasa Marga may trigger similar action to JPT. We may also lower JPT’s rating if there’s any indication of weaker support from Jasa Marga such as material divestment of ownership toward JPT that leads to weaker degree of control and business integration.

Established on September 25, 1996, JPT operates the Gempol-Pandaan toll road, comprising a 12.05-kilometer (km) Tranche I operate since June 12, 2015, and a 1.56 km Tranche II since May 13, 2019, when the Pandaan-Malang toll road began operating. Its concession agreement with the Indonesian Toll Road Authority runs until October 3, 2049. It is a subsidiary of Jasa Marga, the leading toll road operator in Indonesia with 40 years of experience. As of July 31, 2022, its shareholders were its founder PT Trans Optima Luhur (53.81%), PT Jasamarga Transjawa Tol (40%), and PT Jalan Tol Kabupaten Pasuruan (6.19%). (ends)