JAKARTA – PT Bayan Resources Tbk (BYAN) finished installed payments for the Notes of USD 400 million earlier than the maturity date of January 24, 2023, by disbursing the remaining principal amount of USD 161.47 million. The said notes were released on January 24, 2020, in Singapore Exchange Securities Trading Limited (SGX-ST).
Low Tuck Kwong, President Director of Bayan Resources, explained that the funds to cover the buyback payment of these notes came from the company’s internal cash. “It would reduce the interest expense, debt interest, and the company’s financing expenses. Additionally, repurchasing the remaining amount of notes would create flexibility for the company to conduct other corporate activities,” he further reasoned in the press release, quoted Tuesday (26/10).
According to Low Tuck Kwong, the said notes buyback comprised an indebted principal of USD 149.10 million, the existing premium of USD 10.16 million, and the owed interest of USD 2.20 million. These transactions were concluded last week (21/10).
The Notes of USD 400 million were released with an annual interest of 6.12% with a corporate guarantee. The early payment was decided upon seeing the company’s financial condition. As of June 2021, BYAN was reported to have a cash and cash equivalent of USD 317.16 million. (LK/ZH)