PLN issues US$1 billion global bonds

State electricity company PT PLN said it has sold US$1 billion global medium term notes (GMTN), the first batch of the planned $2 billion global bonds.

In a press statement, PLN said the global bonds have tenor of 10 years with coupon rate set at 5.5 percent per annum. PLN claims the global bond coupon rate is the lowest rate ever obtained by PLN for US dollar bonds issuance.

Barclays Capital and Citi act as joint lead managers and bookrunners for the bonds sale. The global bonds sale attracted huge demand, amounting to $5.5 billion. PLN said around 44 percent of investors who purchased the company?s GMTN came from Asia, followed by investors from US at 35 percent and Europe 21 percent.

?We are very proud with the positive responses from investors toward the bonds sale of PLN. This indicates strong confidence of investors on PLN despite global volatile market,? said Nur Pamudji, President Director of PLN.

The proceeds of the global bonds will be used for various financing needs and working capital.

The PLN?s bonds had been given rating of Ba1 by Moody?s, BB by Standard & Poor?s and BB+ by Fitch Ratings. (giok)