Gajah Tunggal prepares USD 250 million to pay off its global bond
JAKARTA – PT Gajah Tunggal Tbk (GJTL), the tire manufacturer, allocates USD 250 million to cover its Global Bond 2017 maturing on August 10, 2022.
Kisyuwono, the Director of Gajah Tunggal, reveals that the bond buyback offering would take place until the end of this week (18/6). “The said bond has 8.375% annual interest rate, issued in 2017,” Kisyuwono states in the information disclosure, quoted Monday (14/6).
Regarding this corporate action, a dealer-manager agreement is signed by Gajah Tunggal and PT Filamendo Sakti, PT Prima Sentra Megah, Credit Suisse Singapore Ltd., and Singapore Branch of Deutsche Bank AG.
According to Kisyuwono, the plan to pay off the Global Bond 2017 is intended to support GJTL’s business activities in the long run.
GJTL recently issued a Global Bond worth USD 270 million to cover the earlier Global Bond worth USD 250 million. The difference between 2017 and 2021 global bonds reaches USD 20 million, equivalent to IDR 282.10 billion. As a result, GJTL’s assets would increase 0.48% or IDR 17.86 million. Its liability also grows 2.6% or IDR 11.20 million. The Global Bond 2021’s portion is equal to 55.55% of GJTL’s assets of IDR 6.85 trillion. (LK/ZH)