Indonesia Infrastructure Finance eyes IDR 1 trillion in bond issuance

JAKARTA. PT Indonesia Infrastructure Finance (IIF), an infrastructure financing company, is targeting IDR 1 trillion of fresh fund from the issuance of Shelf-Registration Bond II Phase II Year 2024.

The bond is a part of a more extensive public offering of Shelf-Registration Bond II of IF with target proceeds of IDR 3 trillion. Prior to this, IIF had issued Bond Phase I Year 2023 with total principal of IDR 500 billion.

For this round of issuance, IIF offers the bond in 4 series, with interest rate attached to each series varying from 6.30% to 7.05% per annum. The tenor will also vary, starting from 370 days to 10 years.

For the record, IIF has secured an “idAAA” rating from Pemeringkat Efek Indonesia (Pefindo), a local rating agency, for the issued bond.

In the prospectus, IIF is said to utilise IDR 600 billion of bond issuance proceeds to refinance its debt, then set the remaining amount aside to boost its working capital.

Several underwriters have assigned by IIF for this bond issuance, namely PT BRI Danareksa Sekuritas, PT Indo Premier Sekuritas, and PT Mandiri Sekuritas. In the meantime, PT Bank Mega Tbk (MEGA) will act as the trustee. (KR/ZH)