arma Henwa plans IDR624 Billion rights issue

PT Darma Henwa plans to raise IDR624billion in a rights offer in January to repay debt and to fund working capital, the company said in a statement today.
Shareholders may buy two new shares for each five they own, the company said. Darma Henwa will sell 6.24 billion shares at 100 rupiah apiece, it said.

Darma Henwa targets to rake up US$239 million revenues and US$20.52 million net profits this year. The revenue mostly is attained from the mining contractor activities in Bengalon.
Up to September, the company recorded US$150.68 million revenues or dropped 8.73 percent from US$165.10 million last year.
Meanwhile, the profit before tax stood at US$1.82 million declining from US$9.21 million in 2008. But the firm booked US$295,513 net profits or declining far from the target from US$7.12 million last year.
Darma allocated US$46.9 million capital expenditure this year for routine maintenance. Formerly, PT Bumi Resources Tbk through its subsidiary firm, Bumi Investment, acquired 44 percent shares of Darma Henwa worth IDR2.14 trillion from the 80 percent acquisition of Zurich Asset Investment from Goodrich Management Corp. the acquisition used the valuation made by independent auditor consultant, Yanuar Bey & Rekan.
Darma Henwa has so far been the mining contractor for Bumi Resources in Asam Asam and Bengalon. Bumi Resources projected the total production of Darma Henwa this year will be 7-9 million tons for Bengalon mining, and 2 tons of Asam Asam.

United Tractors says heavy equipment sales may rise 15%

PT United Tractors, Indonesia's biggest seller of heavy equipment, said sales of Komatsu Ltd.
excavators and other machineries in Indonesia may grow by 10 percent to 15 percent next year, it said in a filing to the Jakarta bourse.
Its mining contracting unit may increase coal output by as much as 15 percent next year, United Tractors said in a material for a Dec. 2 presentation accesible through the exchange today.

United Tractors eyes on bank syndicated loans to meet the US$430 million capital expenditure in a bid to support the 10-15 percent growth next year.

The company allocates US$30 million capital expenditure for Komatsu heavy equipment sales unit. Funding resource relies on internal cash. Up to quarter III/2009, the company has IDR2.38 trillion cash.
But the company also budgeted US$400 million expenditure for coal mining contractor unit which was mostly spent at heavy equipment maintenances.

PLN may sell IDR 4.9 trllion bonds

PT Perusahaan Listrik Negara may sell bonds to raise IDR4.9 trillion for capital expenditures
this year and next year. PLN still preparing bonds issues and plans to increase the amount of bond issuance from IDR1.5 trillion into IDR3 trillion.

PLN has appointed Mandiri Sekuritas, Bahana Sekuritas, and Danareksa Sekuritas as the underwriters.

Considering the 10,000 MW program financing from the total required funds in US dollar denomination worth US$4.9 billion, the company could fully covered 91 percent or there is still another US$440 million more.
Meanwhile, for the rupiah portion, the total needs worth IDR19.6 trillion has been 97 percent covered. PLN has just got credit commitment worth US$1.09 billion for four power plants project inclduing the 10,000 MW project.
The funding here equals IDR10 trillion which is provided from some Chinese banks and domestic ones. China Development Bank Corp, Industrial & Commercial Bank of China Ltd provide US$763 million loans for the steam-based power plant (PLTU) 2 Central Java (with 1X660 MW capacities) and PLTU West Sumatra (2X112 MW).

Multi Nitrokimia offer bonds coupon 12.55%-14.9%

PT Multi Nitrotama Kimia offered I/2009 bond and I/2009 sharia bond coupon of a total of IDR370 billion bonds at 12.55-14.9 percent. The conventional bonds of the emitter candidate are categorized into three series based on the due date period.
"With relatively medium tenure and the idA- rating, we are optimistically to get investors from mutual fund industry, bank, and insurance," said Finance and Administration director of Multi Nitrotama Aulia M. Oemar to press yesterday.
From the IDR270 billion bonds, the A series will mature in two years, and B series in three years, C series in five years. The total of IDr100 billion sharia bonds, the A series has three years tenure and B series five years tenure.
SUN as the coupon reference includes FR0017, FR0023, and FR0026 plus premium of 450-575 bps. Yesterday, the yield of FR0017 was closed at 836 percent and FR0026 at 8.06 percent, FR0023 at 8.36 percent, and FR0026 at 9.15 percent.