Indonesian wireless player Smartfren is planning to sell mandatory convertibles bonds worth Rp9trn (US$763.5m), partly to refinance debt maturing this year, its CFO has said.
Antony Susilo told the Jakarta Globe that the company has Rp4trn (US$340m) in…
Indonesian wireless player Smartfren is planning to sell mandatory convertibles bonds worth Rp9trn (US$763.5m), partly to refinance debt maturing this year, its CFO has said.
Antony Susilo told the Jakarta Globe that the company has Rp4trn (US$340m) in debt, originally secured from China Development Bank and Anglo-American Financial, due this year.
The leftover proceeds will go towards working capital to develop its network infrastructure.
The offering, which requires shareholder approval, will likely be split in two tranches – Rp1trn and Rp8trn – and the bonds will have a five-year maturity.
Sinarmas Sekuritas has been mandated as selling agent, Susilo said.
Smartfren, which is majority-owned by local conglomerate Sinar Mas Group, is among the smallest players in Indonesia’s saturated mobile market. It has around 11 million subscribers.
As of March, the operator had total liabilities of Rp12.62trn (US$1.07bn), according to its first-quarter results.
