JAKARTA – PT Buana Finance Tbk (BBLD) obtained a credit facility totalling IDR 900 billion from PT Bank Danamon Indonesia Tbk (BDMN) dan PT Bank QNB Indonesia (BKSW) on Wednesday (19/3).

The credit facility from BDMN amounted to IDR 750 billion, which is an addition to the existing facility. Meanwhile, the company secured a facility worth IDR 150 billion from BKSW.

Ahmad Khaetami, Corporate Secretary of BBLD, explained that the term loans from both banks have a maximum tenor of 48 months. Additionally, BBLD received an extra overdraft facility from BDMN of IDR 15 billion, with a 12-month tenor.

According to Ahmad, all the funds from the loan facility will be used as working capital, particularly for consumer finance and financial lease funding. As part of the agreement, the loan is secured by the receivables owned by BBLD.

Ahmad acknowledged that the credit facility is material, as its value exceeds 50% of the company’s total equity as of December 31, 2023. Nevertheless, Ahmad noted that this will not disrupt the company's business activities.

“There is no material impact from the event, information, or material facts on the company's financial condition, legal matters, or business continuity,” he stated. (EF/KR/ZH)