JAKARTA - PT Indah Kiat Pulp & Paper Tbk (INKP) will issue Shelf Registration USD Bonds I Phase III 2024 amounting to US$ 25 million on April 1, 2024. All bond proceeds will be used to purchase 75% factory equipment and 25% for factory infrastructure that is currently being built.

In a brief prospectus quoted on Tuesday (19/3), of the bonds, approximately US$ 4.77 million is pledged on a full commitment basis and US$ 20.22 million on a best effort basis.

The US$ 4.77 million bonds were issued in three series. Series A offered US$ 232,000 with an interest rate of 5.75% per annum for 370 days. Series B amounted to US$ 2.52 million with an interest rate of 7% per annum for three years, and Series C offered US$ 2.02 million with an interest rate of 8% per annum for a period of five years.

Bond underwriters with full commitment include PT Aldiracita Sekuritas Indonesia with 9.37%, PT BCA Sekuritas 32.41%, PT Indo Premier Sekuritas 57.17%, and PT Trimegah Sekuritas Indonesia Tbk (TRIM) 1.05%.

As of September 2023, INKP's total assets were IDR 10.05 trillion, up from December 2022 of IDR 9.64 trillion. Total liabilities of IDR 4.14 trillion, up from IDR 4.03 trillion, and total equity of IDR 5.90 trillion, up from IDR 5.06 trillion.

For this bond offering plan, Pefindo has assigned an IdA+ (single A plus) rating from July 7, 2023 to July 1, 2024. Meanwhile, Kredit Rating Indonesia (KRI) has assigned a rating of irAA (double A) from July 11, 2023 to July 1, 2024. (LK/LM)