JAKARTA – Bondholders have rejected PT Kimia Farma Tbk (KAEF) proposal to delay the payment of interest on its Mandatory Convertible Bonds (OWK), which are due on 22 August 2025. This rejection took place during the General Meeting of Bondholders (RUPO) for OWK I 2023, held yesterday (18/3).

According to a disclosure on Thursday (20/3), Djagad Prakasa Dwialam, President Director of KAEF, reported that the meeting was attended by bondholders representing IDR 292.68 billion, or 99.011% of the total OWK I 2023 amounting to IDR 302.99 billion.

Bondholders only approved one out of the four agendas presented, specifically the management's explanation regarding KAEF’s unmet financial obligations.

The three rejected agendas included maintaining a ratio of current assets to short-term liabilities of no less than 100% from the 2024 financial report until 23 February 2028, accelerating the full conversion of OWK into shares by 17 April 2025 to boost the company’s working capital, and deferring the interest payment on OWK due in August 2023 to 22 August 2027.

Meanwhile, KAEF's shares declined by 0.4%, or IDR 2, to IDR 426 in the first trading session at 14:54 WIB, Thursday (20/3). The shares opened at IDR 430, with a high of IDR 438 and a low of IDR 424. Yesterday (19/3), the stock rose by IDR 2 to close at IDR 428. Trading volume reached 639,900 shares across 236 transactions, valued at IDR 275.17 million. Over the past week, the stock has fallen by 10.55%, or IDR 50 per share. (LK)