JAKARTA. PT Mahkota Group Tbk (MGRO), a palm plantation company, has granted deposit guarantee worth IDR 150 billion to creditors for the credit facility received by one of its subsidiaries, PT Intan Sejati Andalan (ISA).

This collateral is put in by MGRO to PT Bank Mandiri (Persero) Tbk (BMRI), as ISA creditors.

According to Usli, President Director of MGRO, this deposit guarantee will not affect operational activities and financial condition of the company. The reason is, as Usli said, because the company still has quite a solid capital structure.

“The sufficient amount of financial support will serve as the subsidiary’s working capital in optimising the execution of the company’s business plan,” Usli said in the information disclosure.

According to IDNFinancials data, ISA is a company under MGRO, owned through PT Mutiara Unggul Lestari. This business, carried out by ISA, is within the industrial and agriculture sectors, with the main focus of palm refinery and its derivative products. ISA began commercially operating in 2005. (KR/ZH)