COUNTRY REPORT INDONESIABNP Paribas , Credit Suisse , ICICI Securities ,
IIFL Holdings and Nomura are leading the
transaction.
The IPO will comprise about 17.2m
primary shares and 8.6m secondary
shares.
The automotive and aerospace
components maker is backed by private
equity firm The Rohatyn Group. It posted
a profit of Rs9.9bn for the year ended
March 31 2018, up 55% from a year
earlier.
It has 14 manufacturing facilities in India
and one in Sweden.
› MRS BECTOR'S INDIA IPO PLAN HEATS UP
MRS BECTOR’S , a baked goods producer, has
filed for an IPO in India to raise up to
Rs8bn.
Edelweiss , IDFC Bank , IIFL Holdings , and
Link Intime India are the lead managers of
the float on the BSE and National Stock
Exchange of India.
The Indian company produces bakery
products like biscuits, breads and buns and
markets them under brands such as Mrs.
Bector’s Cremica and English Oven to retail
customers in around 11 Indian states. The
products were exported to 61 countries this
year.
Managing Director Anoop Bector has a
39.9% interest in the company, followed by
Linus with a 22.9% stake and GW Crown
with 19.5%.
MRS BECTOR’S posted a profit of Rs320m for
the year ended March 31, up from Rs250m
in the previous year.
INDONESIA
DEBT CAPITAL MARKETS
› JLB EYES RP1.3TRN FROM BONDS
JAKARTA LINGKAR BARATSATU plans to raise
Rp1.3trn (US$89m) from a two-tranche
bond offering, according to the offer
document.
The operator of toll roads in west
Jakarta has put out indicative price
ranges of 9.0%-9.75% for a three-year
tranche and 9.85%-10.65% for a five-year
portion.
The notes are rated A+ by Pefindo.
The interest on the bonds will be paid
quarterly.
The books opened last Thursday and
close on August 30.
BCA Sekuritas and Mandiri Sekuritas are lead
arrangers for the issue.
JAPAN
EQUITY CAPITAL MARKETS
› GLP J-REIT OFFERS NEW UNITSJapanese investment company GLP J-REIT
is opening books for a global offering of
shares to raise up to ¥46.4bn (US$421m),
based on last Monday’s closing price of
¥117,700 a share.
The company is selling 402,559
primary shares, with 30% allocated for
international subscription and 70% for
the domestic offering, according to a deal
term-sheet.
There is an overallotment option
for international and local investors
of 8,454 and 19,726 new shares,
respectively.
The shares will be sold at a discount of
2%–4.5% to the market price.
Books opened last Thursday and close on
August 20 at the earliest.
The deal will be priced between August
21 and August 24.
There is a lockup period of 180 days.
Citigroup , Mizuho , Nomura and SMBC Nikko
are the joint global coordinators.› CANADIAN SOLAR INFRA IN FOLLOW-ONTokyo-listed CANADIAN SOLAR INFRASTRUCTURE
FUND plans to raise up to ¥4.90bn from a
global offering of new units, based on last
Tuesday’s closing price of ¥107,800 a share.
The closed-ended fund, which listed in
Japan last October, is selling 46,667 units at
a discount of 2.5%–5% to the market price,
according to a term sheet seen by IFR.
About 18,900 units are available for
international investors and 27,767 for
domestic buyers, including a designated
allotment of 7,000 units. There is an
overallotment option of 2,333 units.
Proceeds will be used to acquire solar
projects for the company’s portfolio and
repay bank loans. The remainder will go
towards future acquisition of solar assets.
There is a 90-day lock up for the
company.
Books will open on August 24 and close
on August 28. The deal will be priced
between August 29 and September 3.
Macquarie and Mizuho are the joint
bookrunners on the international tranche.
Mizuho is also working with SMBC Nikko and
SBI on the domestic front.
Canadian Solar also hired Macquarie and
Mizuho to arrange its ¥17.8bn Tokyo Stock
Exchange IPO, priced at ¥100,000 a unit in
October 2017.Jasso to sell Social bonds
Bonds Student support institution only second to use the format after JICAJAPAN STUDENT SERVICES ORGANIZATION (Jasso),
an independent body under the Ministry of
Education, is set to become only the second
Japanese issuer to sell Social bonds, with a
¥30bn (US$270m) offering this week.
In contrast to Japan International
Cooperation Agency, the only previous
Social bond issuer in the yen market,
Jasso will use the proceeds for domestic
purposes.
Jasso, which spends 98% of its ¥1.1trn
budget on scholarships, obtained a second-
party opinion from Vigeo Eiris in June that
its forthcoming bond is aligned with Social
Bond Principles. The French reviewer also
said the issuer had a good overall ESG
performance.
The ¥30bn two-year agency bonds are
due to price this week and be issued on
September 7, with the proceeds to be used for
scholarship programmes.
It was not difficult for Jasso to be certified
given the nature of its projects.
“We started preparing about a year ago,and it took us about a month and a half to get
the second opinion from Vigeo Eiris,” a Jasso
official said in an interview with IFR.
While the social nature of the issuer’s
mission is widely recognised, Jasso decided
to pay the extra costs for an external review
and issue Social bonds for a number of
reasons.
One is to be recognised by a third party as
performing a social responsibility. Another is
to respond to investors’ views that it is easier
to make investment decisions if its bonds
are labelled Social. Jasso is aiming to attract
investors who consider its traditional bonds
too short and thereby diversifying its investor
base.
The second-party opinion is limited to the
forthcoming trade, but Jasso regularly issues
short-dated agency bonds four times a year
and it plans to obtain a second opinion again
to issue more Social bonds.
Mitsubishi UFJ Morgan Stanley , Mizuho and
Nomura will lead the new Jasso trade.
TAKAHIRO OKAMOTO