Sinarmas’s pulp and tissue manufacturer to issue 3 bonds
JAKARTA. PT Oki Pulp & Paper Mills (OPPM), a manufacturer of pulp and tissue under Sinarmas Group, will issue three securities in the form of bonds in rupiah and US dollar.
The first bond issued by OPPM is Shelf-Registration Bond I Phase V Year 2024, with total principal of a maximum of IDR 3.01 trillion (rupiah bond).
Then, come the second one, Shelf-Registration USD Bond I Phase V Year 2024 with maximum principal of USD 20 million (USD bond), plus another Shelf-Registration Bond I Phase V Year 2024 with maximum principal of IDR 119.14 billion (green bond).
Rupiah bond will be offered in 3 series, with coupons ranging from 8% to 11% per annum (p.a.). The USD bond is then also offered in 3 series, with coupons ranging from 5.75% to 8% p.a. Lastly, green bond will also be offered in three series, with coupons ranging from 8% to 11% p.a.
In the issued prospectus, OPPM is said to have a plan of utilising rupiah bond issuance proceeds to pay loans and enhance working capital.
USD bond issuance proceeds, however, will be allocated for expansion of pulp plant and its capital expenditure, while the proceeds of green bond issuance will be spent on waste management facility development.
The public offering of these securities will take place from July 15 to 16, 2024, with electronic distribution of said bonds follows on July 19, 2024. The listing on Indonesia Stock Exchange (IDX) will conclude the process on July 22, 2024. (KR/ZH)