PEFINDO has lowered the rating of PT Kapuas Prima Coal Tbk (ZINC)’s

(January 09, 2024)--PEFINDO has lowered the rating of PT Kapuas Prima Coal Tbk (ZINC)’s Bond I/2018 to idD from idCCC and its Bond I/2018 to idD from idCCC. At the same time, we also lowered ZINC’s corporate rating to “idSD” from previously “idCCC” with CreditWatch with negative implication. The rating actions follows ZINC’s inability to settle the payment of its bond during remedial period which has expired on January 4, 2024. Initially, the Company has failed in repaying its maturing bond principal of IDR23 billion due on December 21, 2023.

PEFINDO may revisit ZINC's rating if the Company successfully resolves the settlement of its defaulted bond.

Established in 2005, ZINC engaged in exploration and production activities for industrial metals, including zinc (Zn), lead (Pb), silver (Ag), and iron ore (Fe). The Company currently operates three block of underground pits named Gossan, Karim, and Ruwai in Lamandau, Central Kalimantan. Publicly listed 2017, its shareholders as of September 30, 2023 were Sim Anthony (14.42%), Kioe Nata (12.33%), Budimulio Utomo (10.15%), PT Sarana Inti Selaras (9.78%), Haroen Soedjatmiko (9.57%), Wiliam (9.16%), and the public (34.59%). (ends)