Release: Pamapersada Nusantara signed US$ 425 million syndicated facilities

(24 September 2007) – Jakarta On Monday, 24 September 2007, PT Pamapersada Nusantara (“Pama”) signed a US$ 425 million Syndicated Facilities (the “Facility”) with a group of 23 lenders. The six Mandated Lead Arrangers, DBS Bank Ltd, The Hongkong and Shanghai Banking Corporation Limited, Mizuho Corporate Bank, Ltd/ PT Bank Mizuho Indonesia, Standard Chartered Bank, Sumitomo Mitsui Banking Corporation, and United Overseas Bank Limited/ PT Bank UOB Indonesia, were joined by The Bank of Tokyo-Mitsubishi UFJ, Ltd, Oversea-Chinese Banking Corporation Ltd, JPMorgan Chase Bank, N.A., Aozora Bank, Ltd, PT Bank Rabobank International Indonesia, Export Development Canada, ING Wholesale Banking, Bangkok Bank Public Company Limited, Singapore Branch, PT Bank Internasional Indonesia Tbk, Commerzbank AG Singapore Branch, Industrial and Commercial Bank of China (Asia) Limited, The Sumitomo Trust and Banking Company Limited, Singapore Branch, Doha Bank, Emirates Bank International PJSC, The Export-Import Bank of the Republic of China, First Gulf Bank, and Bank of China Limited, Jakarta Branch. In conjunction with the Facility, Standard Chartered Bank will act as the Facility Agent.

 

Proceeds from the Facility will be used to refinance Pama’s existing borrowings, working capital, as well as for general corporate funding purposes. The original facility size was US$ 350 million, but was increased to US$ 425 million to accommodate part of the oversubscription achieved during general syndication.

 

“The strong response from the market for Pama’s syndicated loan shows the strong confidence the international bank market has in our company. The oversubscription we achieved during general syndication of the Facility is remarkable considering that this syndication was launched and closed during the recent turbulence in the financial markets. We would like to express our gratitude to all of our lenders for their support and we assure you that we will maintain our ability to always fulfill our commitment,” said Sudiarso Prasetio, President Director of Pama.

 

The Facility comprises a US$ 290 million Term Loan Facility and a US$ 135 million Revolving Credit Facility. The Term Loan Facility has a five-year maturity, while the Revolving Credit Facility has a three-year maturity, with an option to extend for another two years. Pama is pleased with the successful completion of this fund raising as it achieves a lower funding cost.

 

Pama is a leading mining contractor in who actively manages numerous coal mines and quarries, with approximately 41% market share. Currently Pama has long-term contracts with leading Indonesian mining companies such as PT Adaro , PT Indominco Mandiri and PT Kaltim Prima Coal. Pama is a wholly-owned subsidiary of PT United Tractors Tbk, which is in turn 58.45%-owned by PT Astra International Tbk. (end of release)