Bank Mandiri to issue green bonds worth IDR 5 trillion
JAKARTA. PT Bank Mandiri (Persero) Tbk (BMRI) issues Green Bond I with a principal of IDR 5 trillion.
Said bonds are offered in two series, series A if IDR 1.95 trillion and series B of IDR 3.05 trillion. The coupon set for series A is 5.80% per annum, and the tenor is 3 years. Meanwhile, series B has a coupon of 6.10% p.a. and tenor of 5 years.
During the book building that began on May 23, the green bonds offered by BMRI is oversubscribed 3.74 times. “This proves that investors’ interest in sustainable financial products that conform to environmental, social, and governance (ESG) aspects is getting higher,” Alexanda Askandar, Vice President Director of BMRI, mentioned in its official statement.
According to the information received by IDNFinancials, the public offering of BMRI’s green bonds took place from June 23 to 26, 2023. The electronic distribution of bonds is scheduled on July 4, 2023, while the listing on Indonesia Stock Exchange (IDX) follows on July 5, 2023.
For the record, BMRI will utilise approximately 70% of the proceeds of green bonds issuance for financing and refinancing 11 categories of green business activities. This plan aligns with the government’s priority program to attain national sustainability target. (KR/ZH)