BUMA Offers Buyback of US$315 Million Notes

Indonesia Finance

Tuesday, 30 November 2010 08:55

Theindonesiatoday.com - Prime Dig Pte Ltd, a wholly-owned subsidiary of coal mining contractor PT Bukit Makmur Mandiri Utama (BUMA), offers to the holders of US$315 million Notes due 2014 to purchase for cash.

Prime Dig is also seeking consents to the adoption of the Proposals in relation to certain provisions of the Indenture so as to, among other modifications, (a) eliminate substantially all of the restrictive covenants and certain events of default; and (b) direct the Trustee to execute an Amendment Deed to the Security Sharing Deed (as defined in the Indenture), which would permit BUMA to (i) refinance the Notes; and (ii) repay outstanding indebtedness under the US$285,000,000 Facility Agreement dated 29 October 2009 between, amongst others, the Company as the guarantor, BUMA as the borrower and Sumitomo Mitsui Banking Corporation, SINGAPORE Branch as facility agent, by entering into a new credit facility as pari passu secured indebtedness.

A portion of the proceeds of the New Credit Facility will be used to purchase the outstanding Notes pursuant to the Tender Offer and any amounts payable pursuant to the Tax Call.

The New Credit Facility is arranged through a group of lenders including The Bank of Tokyo-Mitsubishi UFJ, Ltd., SingaporeBranch, The Bank of Tokyo-Mitsubishi UFJ, Ltd., JAKARTA Branch, ING Bank N.V., Sumitomo Mitsui Banking Corporation, Intesa Sanpaolo S.p.A. Hong Kong Branch, Morgan Stanley Bank International Limited, Barclays Capital, PT Bank Mandiri (Persero) Tbk, Indonesia Eximbank and PT Bank CIMB Niaga Tbk, who have committed to an amount of up to US$600,000,000. The New Credit Facility, which was signed on 29 November 2010, is a five-year term loan facility and will pay lenders a margin of LIBOR + 4.75% to withholding tax lenders and LIBOR + 4.90% to withholding tax neutral lenders. The use of proceeds of the New Credit Facility is to fund the Tender Offer for and Tax Call of the outstanding Notes, as well as the prepayment of the Existing Credit Facility. (Theindonesiatoday.com)

» Resource Alam Trading Resumed, BII Suspended

Theindonesiatoday.com - The Indonesia Stock Exchange (IDX) has lifted trading suspension on the stocks of coal miner PT Resource Alam Indonesia (KKGI) Tbk this morning.

Latest News

» Resource Alam Trading Resumed, BII Suspended

» Prosecutors Demands 5 Years Prison for North Sumatra Governor

» Dirgantara Indonesia to Get Rp720 Bln Financing Facility from BRI

» Police Returns Gayus-Related Files of 74 Taxpayers

» Judge Questions Ferry Yen’s Real Existence

» Energi Mega to Issue Global Bond for Debt Refinancing

» Moody's Disclosures on Credit Ratings of Bank Danamon

» BNI, Mandiri to Launch Rights Issue in Q4

» Ancora to Raise Rp135 Billion from Rights Issue

» Govt Assigns Ernst & Young to Audit Inalum

» Speculations Rife on New BKPM Head

» Golden Energy Expects up to US$550 Million from IPO

» Pertamina & Chandra Asri Invite Saudi Aramco to Join Banten Refinery Project

» Sariaatmadja enters pay TV business

» Recapital Advisors Seeks Assets to Be Injected Into Capitalinc

Latest News

Most Read

Industries

Politics

Law

People