JAKARTA - PT Bintang Samudera Mandiri Lines Tbk (BSML) will issue 400 million shares in a rights issue. The proceeds of this corporate action will then be utilised to strengthen capital structure and refinance its obligation.

In the information disclosure quoted Friday (14/4), Pramayari, Corporate Secretary of BSML, claimed that this plan will be carried out no later than a year after the approval from the Extraordinary General Shareholders Meeting of the company. "The shareholders who choose not to exercise their rights over new shares according to their portion will have their shares diluted by 17.80%," Pramayari added.

The detail regarding the offering price in the rights issue and the schedule of the upcoming shareholders meeting are yet to be specified. However, the proceeds of the rights issue are said to be allocated to pay off some of its obligations to banking creditors.

Until December 2022, the company still possessed long-term debts of IDR 94.80 billion to PT Bank Mandiri (Persero) Tbk (BMRI). To secure said facility, BSML has submitted 8 units of tugboats, 7 units of barges, and a lien on several companies' shares as guarantees. (LK/ZH)