INDONESIA
DEBT CAPITAL MARKETS
› BANK CIMB NIAGA EYES BONDS
BANK CIMB NIAGA plans to raise up to
Rp1.25trn (US$84m) from an offering of
three-part bonds, according to an offer
document.
The Indonesian bank plans to raise
Rp746bn at 7.5% for a 370-day tranche,
Rp137bn at 8.5% for a three-year portion
and Rp117bn at 8.8% for a five-year part.
An additional maximum amount of
Rp250bn may be raised on a best-effort
basis.
BCA, CGS-CIMB and Danareksa Sekuritas are
lead arrangers for the issue, which opens
on September 14 and closes on September
17.
Pefindo has assigned a AAA rating to the
notes.
SYNDICATED LOANS
› INALUM SHORTLISTS EIGHT FOR BRIDGEState-owned miner INDONESIA ASAHAN
ALUMINIUM (Inalum) has shortlisted eight
banks to provide a bridge loan of up to
US$4bn to partially back the purchase of a
controlling stake in Freeport-McMoran Inc’s
local unit.
The banks are BNP Paribas, CIMB Bank,
Citigroup, HSBC, OCBC, MUFG, Standard
Chartered and Sumitomo Mitsui Banking Corp.
The bridge facility, which will have an
18-month tenor, will be underwritten and
pre-funded.
Freeport-McMoRan said in July it would
sell a majority stake in its Grasberg mine,
the world’s second-biggest copper mine,
to Inalum via a series of complex deals
totalling US$3.85bn, according to Reuters.
The Indonesian government and Freeport
struck an initial agreement for Inalum to
increase the latter’s stake in Freeport’s local
unit to 51% from 9.36%.
Under the agreement, Inalum plans
to buy the Indonesian unit of Rio Tinto,
the holder of a 40% participating interest
in Grasberg, which is in Indonesia’s
easternmost province of Papua.
That interest would then be transferred
to Freeport’s local unit, Freeport Indonesia,
and converted into a 40% equity holding in
the unit via a rights issue that would then
be given to Inalum.
A subsequent purchase of the share of
Grasberg held by Freeport unit Indocopper
Investama, valued at US$350m, would
give Indonesia a total holding of 51.38% in
Freeport Indonesia.
Freeport has said the deal would be
positive for both sides, but noted the
agreed value was far less than it could have
received, highlighting the company’s desire
to end more than six years of wrangling
that has weighed on its shares.
Freeport has been in negotiations withIndonesia to secure long-term operating
rights at Grasberg after the government
introduced new rules aimed at giving
Jakarta greater control over the nation’s
resources.› FIF BACK FOR US$200M FACILITYFEDERAL INTERNATIONAL FINANCE has launched
a US$200m three-year loan into general
syndication, returning to the loan markets
after more than a year.
Cathay United Bank, DBS Bank, HSBC,
Mizuho, MUFG, OCBC, Sumitomo Mitsui Banking
Corp and Taipei Fubon Commercial Bank are the
mandated lead arrangers and bookrunners
of the facility, which carries an unspecified
greenshoe.
The borrowing pays interest margins of
80bp (offshore) and 90bp (onshore) over
Libor. The average life is 1.625 years.
Banks are being invited to join as lead
arrangers with tickets of US$20m or
more for upfront fees of 35bp, translating
to a top-level all-in pricing of 101.5bp
(offshore) and 111.5bp (onshore). Arrangers
committing US$10m–$19m receive 30bp
in fees for all-ins of 98.5bp (offshore) and
108.5bp (onshore), while lead managers
committing US$5m–$9m receive 25bp
in fees for all-ins of 95.4bp (offshore) and
105.4bp (onshore).
Roadshows will be held in Tokyo on
September 11 and 12, Taipei on September
13 and 14, and Singapore on September 18.
The deadline for responses is October 5.
Funds are for general corporate purposes.
FIF raised a US$200m two-year club loan
in March last year. ANZ, DBS, HSBC, MUFG,
Mizuho, OCBC, SMBC and Taipei Fubon
Commercial Bank were the lenders on the
bullet financing.
The borrower, a provider of motorcycle
financing services, is a unit of Astra
International.JAPAN
DEBT CAPITAL MARKETS
› TOYOTA TSUSHO PRICES FIVE-YEAR BONDTOYOTA TSUSHO CORP has priced a US$500m
five-year bond at Treasuries plus 95bp.
The transaction drew over US$2.1bn in
orders from 135 investors. Asia accounted
for 95%, and the remainder went to
European investors.
Fund managers were distributed 44%
of the notes, followed by banks at 34%,
insurers at 15% and others 7%.Top bookrunners of Indonesian rupiah bonds
1/1/18 – 31/8/18
Amount
Name Issues Rp(m) %
1 Indo Premier Sec 15 3,510,511.9 9.3
2 Bank Negara Indonesia 12 3,502,245.2 9.3
3 Danareksa 12 3,320,845.2 8.8
4 Bank Mandiri 12 3,079,945.2 8.2
5 Bahana Sec 6 2,287,845.2 6.1
6 DBS 10 1,604,945.2 4.3
7 BNP Paribas 1 1,350,000.0 3.6
7 MUFG 1 1,350,000.0 3.6
7 Mandiri SARL 1 1,350,000.0 3.6
7 HSBC 1 1,350,000.0 3.6
Total 34 37,730,843.5
*Market volume
Proportional credit
Source: Thomson Reuters SDC Code: AS9
Top bookrunners of Indonesia syndicated loans
1/1/18 – 31/8/18
Amount
Name Deals US$(m) %
1 Bank Mandiri 9 1,294.2 14.6
2 Bank Central Asia 7 1,158.4 13.1
3 CIMB Group 10 739.7 8.3
4 Standard Chartered 10 649.8 7.3
5 MUFG 5 567.4 6.4
6 ANZ 8 446.6 5.0
7 State Bank of India 1 400.0 4.5
8 OCBC 4 394.2 4.4
9 DBS 8 390.1 4.4
10 SMFG 7 325.7 3.7
Total 26 8,879.0
Based on market of syndication and market total
Proportional credit
Source: Thomson Reuters SDC Code: S11b
Indonesia global equity and equity-related
1/1/18 – 31/8/18
Amount
Name Issues US$(m) %
1 Credit Agricole 2 270.3 15.3
2* BNP Paribas 1 246.0 14.0
2* Nomura 1 246.0 14.0
4 Bank Mandiri 5 130.7 7.4
5 Ciptadana Sec 2 84.2 4.8
6 UOB 3 77.0 4.4
7 Morgan Stanley 1 74.3 4.2
8 Credit Suisse 2 64.9 3.7
9 Danareksa 2 62.7 3.6
10 Citic Sec 2 54.2 3.1
Total 30 1,761.9Source: Thomson Reuters