JAKARTA. PT Sinarmas Multi Artha Tbk (SMMA), a financial services holding company owned by Sinar Mas Group, will issue Shelf Registration Bonds III SMMA Phase I Year 2024 with a principal amount of IDR 1.5 trillion.

This is part of SMMA's Shelf Registration Public Offering III program, with a target fund to be raised of IDR5 trillion. The bonds are issued scripless, except for jumbo bond certificates that will be issued by SMMA on behalf of PT Kustodian Sentral Efek Indonesia (KSEI), as evidence of debt to bondholders.

The bonds are offered with a coupon of 10% per annum and a tenor of 5 years. Interest will be paid every 3 months from the issuance date.

According to the prospectus, SMMA will use the proceeds from the bond issuance to repay a number of debts. In addition, the company will also set aside a portion for investment needs, working capital, and additional capital to its subsidiaries.

SMMA appointed PT Aldiracita Sekuritas Indonesia and PT Sinarmas Sekuritas as bond underwriters and bond underwriters. Meanwhile, PT Bank KB Bukopin Tbk (BBKP) was appointed as trustee. (KR/LM)