Bank Exim issues bonds in Hong Kong<\/p>\n
JAKARTA (JP): The state-owned Bank Ekspor Impor Indonesia has
\nissued 10-year Floating Rate Notes worth US$130 million in Hong
\nKong to support its lending for export activities.<\/p>\n
\"The bond agreement was signed in Hong Kong on Sept. 7 and is
\npart of our efforts to get foreign exchange to support our
\nlending in 1995-1996,\" a bank executive said yesterday.<\/p>\n
He told The Jakarta Post that the bonds, each with a nominal
\nvalue of $500,000, were sold at par. They carry interest coupons
\nwith an annual rate of 0.8 percent above the six-month London
\nInterbank Offered Rate (LIBOR) for the first seven years and 0.60
\npercent above LIBOR in the following three years.<\/p>\n
Bondholders have a put-option to cash their bonds at the end
\nof the first seven years, while the bank has a call-option to buy
\nback the bonds at the end of the first five years and at the end
\nof the first eight years.<\/p>\n
The bank has listed the bonds at a stock exchange in
\nLuxemburg.<\/p>\n
Daiwa Securities (HK) Ltd. managed the bond issuance along
\nwith JP Morgan Securities Asia Ltd., LTCB Asia Ltd., Nomura
\nInternational HK and Sumitomo Finance Asia Ltd., while its co-
\nmanaging companies were Daiwa Overseas Finance Ltd., Fuji
\nInternational Finance (HK) Ltd., Goldman Sachs (Asia) Ltd., HSBC
\nMarkets, Merrill Lynch HK Securities Ltd., Morgan Stanley Asia
\nLtd., Paribas Capital Market, Sanwa International Finance Ltd.,
\nSBC Warburg, Tokai Asia Ltd., United Bank of Switzerland and
\nWestdeutche Landesbank Girozentrale.<\/p>\n
According an executive of Bank Ekspor Impor, the bank has
\nissued such securities nine times since the government started
\ncontrolling the inflow of offshore commercial loans in 1992.<\/p>\n
\"All of the loans were issued overseas in order to get lower
\ninterest rates,\" said the bank executive, who asked to remain
\nanonymous.<\/p>\n
He added that the bank's current outstanding loans are about
\n$900 million. (kod)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bank-exim-issues-bonds-in-hong-kong-1447893297",
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