PT Tower Bersama InfrastructureTbk ("TBIG") Announces Rupiah Bond Offering
Posted on 5th July 2018
JAKARTA, 5 July 2018 – PT Tower Bersama Infrastructure Tbk ("TBIG") announces that it has closed its Continuous Rupiah Bond III Phase I Year 2018 (“TBIG Bond III Phase I” or “July 2021 IDR Notes”).
The July 2021 IDR Notes have a total issuance size of Rp608 billion at a fixed interest rate of 8.50% for a tenor of 3 years and will have quarterly coupon payments. The July 2021 IDR Notes will constitute senior unsecured obligations of TBIG. The use of net proceeds will be to partially repay the Company’s existing financial liabilities, in particular, Facility B of our Credit Facilities.
The July 2021 IDR Notes obtained a local AA- rating from Fitch Indonesia and will be listed on the Indonesian Stock Exchange on 6 July 2018.
Total gross debt as of 31 March 2018, valuing USD loans at their hedged exchange rate, was Rp18,084 billion and gross senior debt was Rp12,138 billion while cash balances were Rp926 billion, resulting in net debt of Rp17,158 billion and net senior debt of Rp11,212 billion. Using the first quarter 2018 annualized EBITDA, the net senior debt to EBITDA ratio is 3.1x, and net debt to EBITDA ratio is 4.8x.
“We are pleased to access the Rupiah bond market with competitive pricing. Our current leverage is well within our bond covenants of not more than 6.25x for gross debt (at the hedged rate of debt) over last quarter annualized EBITDA,” commented Helmy Yusman Santoso, CFO of TBIG.
“The July 2021 IDR Notes diversifies and strengthens our capital structure. We have an extremely strong debt structure – fully hedged, long term debt and ample committed undrawn availability. We maintain our prudent hedging strategy by using life-of-debt derivative hedging instruments, with further protection from USD 40 million per year of long term contracted USD revenue,” added Hardi Wijaya Liong, CEO 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