BW Plantations set coupon rate at level 10.675%

PT BW Plantation Tbk, a producer of crude palm oil (CPO), has set a 5-year coupon IDR700 billion bonds worth IDR700 billion at the level of 10.675% per annum. Formerly, BW Plantations set a price range for its bond issuance at between 9.675% to 10.675%

The company will use the bond proceeds for debt refinancing, expansion, and working capital. Proceeds from the issuance of bonds, according to the plan, will be used by BW Plantation to pay off the loan to Citibank NA and Bank Artha Graha.The underwriters of the bond issuance are PT Danareksa Sekuritas, PT BNI Securities, and PT Kresna Graha Sekurindo Tbk.

The 5-year bond, to be paid quarterly, received an idAA rating with a stable outlook from the nation’s rating agency, PT Pemeringkat Efek Indonesia (Pefindo).