PT Tower Bersama Infrastructure Tbk(TBIG) Announces its Closing of a USD 275 million Revolving Credit Facility (Facility F)
Posted on 21st January 2021
JAKARTA, 21 January 2021 – PT Tower Bersama Infrastructure, Tbk. ("TBIG") executed a new USD 275 million bank revolving credit facility (“RCF”).
This new USD 275 million RCF (“Facility F”) received USD 645 million of committed demand, confirming that TBIG’s lenders continue to strongly support the growth of the business. Facility F will be used to prepay our existing USD 275 million (“Facility D”) term loan. Facility F has a final maturity date in June 2026 and is priced at Libor plus 175 basis points, which is 25 basis points lower than Facility D.
Last week, TBIG priced a new USD 300 million, 2.75% senior unsecured notes due 2026 (the “2026 Notes”). The 2026 Notes have been assigned a BBB- Investment Grade rating by Fitch Ratings. The 2026 Notes partially refinance the outstanding indebtedness under our existing RCFs. After taking into account the issuance of the 2026 Notes, we will have over USD 500 million of committed and undrawn facilities under our existing RCFs, which will be available and can be reborrowed.
TBIG continues to have ample borrowing headroom based on the bank financial covenants of not more than 5.0x net senior debt (hedged rate) to annualized monthly EBITDA at the operating company level.
Hardi Wijaya Liong, CEO of TBIG, remarked, “We have an extremely flexible debt structure –long term hedged debt, ample committed undrawn lines as well as a large amount of headroom based on our covenants. The new Facility F and 2026 Notes have reduced our interest cost as well as lengthened the average tenor of our debt structure.”
Against the backdrop of the ongoing global COVID-19 pandemic, our business continues to demonstrate its resilience with long term, guaranteed contractual revenue from highly rated telecom operators. Moreover, we maintain our prudent hedging strategy by using life-of-debt derivative hedging instruments. We have the flexibility to continue to grow organically, finance acquisitions and implement shareholder return initiatives,” added Helmy Yusman Santoso, CFO of TBIG.
About PT Tower Bersama Infrastructure Tbk:
PT Tower Bersama Infrastructure Tbk (“TBIG”) is a provider of telecommunications infrastructure for the placement of BTS by telecommunications operators in Indonesia. TBIG is publicly listed on the Indonesian Stock Exchange and is majority owned by Saratoga Group and Provident Capital.
For more information contact:
Helmy Yusman Santoso – Tower Bersama Group
Telp. (62-21) 2924 8900
Telp. (62-21) 2924 8900