PLN to issue $1.5b bonds in April
Friday, January 6 2017 - 03:02 AM WIB
Petromindo
State-owned electricity firm PT PLN plans to issue global bonds worth US$1.5 billion in the second quarter of 2017 to help finance power plant projects and other supporting facilities.
"The bonds will likely be issued in April, and the value remains unchanged," PLN President Director Sofyan Basir said on Thursday, adding that the company has yet to assign underwriters for the planned bond issuance.
He said the bonds were initially planned to be issued in the first quarter of 2017. He explained that the delay was made because PLN received last year government equity injection worth Rp 23.6 trillion and a subsidy of Rp 10.9 trillion.
PLN plans to use proceeds from the issuance of the bonds to finance part of its medium-term investment needs. The company is expected to spend Rp170 trillion on power plants, transmission and distribution networks in the next five years.
Editing by Reiner Simanjuntak