Indonesia raises Rp1 triliun in bond auction

Indonesia's finance ministry raised 1 trillion rupiah from the auction of 1-year treasury bills today.
The treasury bills were sold with an average yield of 10.17 percent. The finance ministry also offered 2-year zero coupon bonds ZC0004 at the auction, reopening an existing issue, but there were no winning bids. The ministry had expected to raise a total of 3 trillion rupiah from the auctions.

Bakrie concluded restructuring of US$121 million debts PT Seamless Pipe

Bakrie & Brothers has concluded the restructuring of US$121 million debts of its unit PT Seamless Pipe Indonesia Jaya (SPIJ), a producer of seamless pipe.
"We have restructured the debt by converting it into shares. The debt has declined from US$183 million to US$62 million," said Finance Director Bakrie & Brothers Yuanita Rohali, yesterday
The ownership of Bakrie & Brothers has declined from 37.5% in 1985 to 19.6% at the end of 2007.

Mitra Rajasa Buy Apexindo ?

PT Mitra Rajasa Tbk has interest to buy PT Apexindo Pratama Duta Tbk. Before Mitra, A company of Panigoro family has acquired 32% shares of its affiliate, PT Apexindo Pratama Duta Tbk, at IDR2 trillion.

Encore has acquired Apexindo at IDR2,400 per share. Encore is the holding of PT Medco Energi Internasional Tbk. Encore has acquired the stocks from Asia investment Funds SPC A/C Capital Income Fund II Segregated Portfolio (15.85%) and Asian Opportunities Fund I Segregated Portfolio (15.85%).

BTN Writes off IDR12.9 Trillion

PT Bank Tabungan Negara has secured the shareholder's approval to write off IDR12.96 trillion of loss.
As of the end of 2007 the loss balance of the state bank was IDR12.96 trillion compared with IDR13.52 trillion.
The President Director of BTN Iqbal Latanro said the bank will also arrange assets revaluation arrangement as much as IDR700 billion by revering to the market value of the assets.
"The Finance Minister has just signed quasi reorganizing so that the loss balance has been eliminated. That is why the balance sheet of BTN will be positive and the IPO result will be optimum," he said last week.

Humpuss to Sell US$50 Million Bonds

PT Humpuss Intermoda Transportasi Tbk has planned to sell US$50 million during the first half of the year to support the expansion plan. The company has planned to buy two oil tankers, 11 chemical tankers, five bulk ships, and 20 barges.

Truba sell US$300 million

PT Truba Alam Manunggal Engineering Tbk hires UBS to sell US$300 million bond .
Truba Alam has acquired 80% shares of PT Bhumi Agung Listrikondo that run combined cycle power plant of US$600 million.
Truba Alam should expand the business to cut the dependency to its unit PT Truba Jaya Engineering Tbk so that the contribution of the unit will be less than 50%.
The plan of Truba Jaya was blocked by the regulation of Indonesia Stock Exchange on the Listing of Stocks or Other Securities.

Gov't to Issue Bond worth US$1.5 Billion

The government plans to issue dollar-denominated bond worth US$1.5 billion or IDR13.8 trillion after three months ago it issued US$2 billion worth bond to the global market.
The amount of fund raised by the second bond, which will be 10-year bond, will be used to patch up the wider 2008 budget deficit.
The government on Monday night issued a request for proposal to around 10 potential foreign underwriters. The request mentions the government's plan to issue bond worth US$1.5 billion in the second quarter of 2008. The potential underwriters are asked to enclose their proposals by no later than Monday next week

Orias a new President Director Reliance

Orias Petrus Moedak, former Managing Director Danareksa Sekuritas will become the President Director Reliance Securities.

Pupuk Kaltim Postpones US$150 Million Bonds

Indonesia's largest urea producer PT Pupuk Kaltim has cancelled the plan to sell US$150 million bonds or IDR1.38 trillion amid the unfavorable market.
The President Commissioner of Pupuk Kaltim Muhammad Said Didu said the company should seek other financing like export credit and bank loans.
Last year the company planned to sell IDR600 billion bonds to refinance its maturing bonds. But finally the company repaid the bonds using its internal cash reserve.

Indofood Revises Bonds Sales to IDR1 Trillion

PT Indofood Sukses Makmur Tbk has prepared the option to sell IDR1 trillion bonds instead of IDR1.2 trillion - IDR1.5 trillion it has planned previously.
Indofood also has prepared the internal cash reserve to repay its IDR1.22 trillion bonds that will mature in June 2008.
Indofood has picked PT Mandiri Sekuritas, PT DBS Securities Indonesia, PT Danareksa Sekuritas, and Kim Eng Securities of Singapore as the underwriters.
The bonds will be followed with the issuance of bonds by PT Salim Ivomas Pratama.

60% Stake in KS to be Sold

The government's stake in steel maker PT Krakatau Steel (KS) is going to be reduced to 40% if maximum 60% stake in the state-owned steel enterprise is divested through strategic sale and initial public offering schemes.
The Privatization Committee decides up to 60% shares of KS can be privatized, making the government hold only minority shares. The government's stake in KS can be further reduced if KS issues new shares through IPO [initial public offering].

BTN Mulls to Cut Bonds

PT Bank Tabungan Negara (BTN), the state bank that focuses on mortgage, is mulling to sell less than IDR1 trillion bonds it has planned previously.
The bank will cut the bonds as the prices of state bonds have been declining and the yields have been increasing. With the lower bonds, the bank will use internal cash reserve to repay its maturing IDR750 million bonds.
To sell the bonds the bank has assigned PT Danareksa Sekuritas, PT Mandiri Sekuritas, and PT Trimegah Securities Tbk as the underwriters.
BTN plans to jump into the market next May or June to sell some bonds. The bank has been preparing the alternatives of revolving fund if it will be difficult for the bank to sell 30% shares in IPO this year to get IDR1.9 trillion of capital.

Boediono, road to Bank Indonesia

Finally, President Susilo Bambang Yudhoyono only nominates Boediono as candidates for the Governor of the Central Bank (BI) replacing Burhanuddin Abdullah.
last week held a special meeting with community elements to discuss central bank (BI) governor candidate. Two names were touted during the meeting, namely Sri Mulyani and Boediono.
Although the meeting didn't discuss names, told State Secretary Hatta Rajasa, several participants mentioned two cabinet ministers-who were also present at the meeting-Minister of Finance Sri Mulyani and Coordinating Minister for Economic Affairs as suitable candidates for the post.
President Susilo Bambang Yudhoyono yesterday held a special meeting with community elements to discuss central bank (BI) governor candidate. Two names were touted during the meeting, namely Sri Mulyani and Boediono.
Although the meeting didn't discuss names, told State Secretary Hatta Rajasa, several participants mentioned two cabinet ministers-who were also present at the meeting-Minister of Finance Sri Mulyani and Coordinating Minister for Economic Affairs as suitable candidates for the post.