JAKARTA. PT Sinar Mas Agro Resources and Technology Tbk. (SMAR) will issue bonds worth IDR 1.5 trillion to refinance part of its debt. The bonds are part of the public offering of Shelf Registration Bonds III SMART Phase I Year 2021 with a target fund of IDR 5 trillion.
Based on the company's prospectus, the issuers of cooking oil producer Sinar Mas Group will issue bonds in three series. Series A has a tenor of 370 days from the date of issuance, series B has a tenor of 3 years, and series C has a tenor of 5 years.
Management of Sinar Mas Agro Resources and Technology in their explanation explained that the proceeds from the offering of the Shelf Registration Bonds Phase I SMART III 2021, after deducting the issuance cost, will be used to pay a portion of the principal of short-term bank debt. It will also be used to pay part of the principal of long-term bank loans and part of the principal on bonds at maturity.
The initial offering period of the bonds is planned for May 4-21, 2021, the public offering period for June 3-7, 2021, the allotment date for June 8, 2021, and the date of listing of securities on the Indonesia Stock Exchange on June 11, 2021.
This bond has received an A+ rating from PT Pemeringkat Efek Indonesia (Pefindo). (AM/LM)