Bira arranges $75m loan for pineapple firm<\/p>\n
JAKARTA (JP): Publicly-listed Bank Bira has arranged and
\nclosed a syndicated loan of US$75 million for PT Great Giant
\nPineapple Company, a pineapple plantation and processing firm,
\nwith an oversubscription of 26 percent.<\/p>\n
The syndicated loan agreement was signed at the Grand Hyatt
\nhotel here yesterday by executives of the syndicate's 19 members
\nand Great Giant.<\/p>\n
Bank Bira's president, Bambang Panutomo, told a press
\nconference after the signing ceremony that the interest rate on
\nthe loan, which has a tenor of four years, was set at 1.75 points
\nabove the Singapore Inter-bank Offered Rate (SIBOR).<\/p>\n
\"The loan will be used to refinance Great Giant's existing
\ninvestment loans and finance its investment and expansion plans,\"
\nBambang said.<\/p>\n
The members are a set of European banks (providing 41 percent
\nof the loan) and Asian banks, mostly from Japan and Singapore (59
\npercent). The banks provided loans ranging from $2 million to $6
\nmillion.<\/p>\n
Bambang said that Bank Bira, which is acting as the lead
\narranger of the loan, and three other banks -- Keppel Bank of
\nSingapore Ltd., Overseas Union Bank Ltd. of Singapore and ING
\nBank, Jakarta -- will provide loans of $6 million each.<\/p>\n
Meanwhile ABN AMRO Bank N.V.Jakarta, Indonesia DKB Bank,
\nMulticor Bank and Bank Sakura Swadharma will come up with $5
\nmillion each.<\/p>\n
The 11 other banks, which are extending loans of less than $5
\nmillion each, are Banque Nationale de Paris, Bank BNP Lippo
\nIndonesia, Rabobank, Rabobank Duta Indonesia, Fuji Bank Limited,
\nIBJ Indonesia Bank, Bank Merincorp, The Royal Bank of Scotland
\nPlc, Sanwa Indonesia Bank, Tat Lee Bank Ltd and the BOT
\nMitsubishi Ltd.<\/p>\n
Meanwhile, Great Giant's president, Husodo Angkosubroto, said
\nthat the company is currently the third largest pineapple company
\nin the world, with an annual production capacity of five million
\nstandard cases of pineapple.<\/p>\n
\"We have been able to export up to 99.8 percent of our produce
\nto more than 28 countries. Our supplies currently meet 20 percent
\nof world demand,\" Husodo said.<\/p>\n
Great Giant, owned by the Gunung Sewu Group, has 20,000
\nhectares of pineapple plantations in Lampung, Sumatra.<\/p>\n
Bambang said that in 1995, Great Giant posted a net profit of
\nRp 30 billion (US$12.7 million) and sales revenues of Rp 150
\nbillion.<\/p>\n
\"It expects to book Rp 50 billion in profit and Rp 200 billion
\nin sales this year,\" he added.<\/p>\n
Top arranger<\/p>\n
Bambang added that Bank Bira projects total syndicated loans
\nof up to $1.5 billion by the end of this year.<\/p>\n
He said that as of yesterday, Bank Bira had arranged total
\nsyndicated loans of $930 million.<\/p>\n
\"By the end of August, the total loans arranged by the bank
\nwill grow to $1.3 billion because we are closing another
\nsyndicated loan of $412 million next month.\"<\/p>\n
He declined to mention which company will get the loan.<\/p>\n
In 1995, Bank Bira was rank ninth among the \"top ten
\nsyndication arrangers\" for Indonesian syndicated loans by the
\nInternational Financing Review.<\/p>\n
It was also ranked 46st among the top 50 loan arrangers in the
\nAsia Pacific region. (alo)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bira-arranges-75m-loan-for-pineapple-firm-1447893297",
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"sponsor_url": "https:\/\/okusiassociates.com"
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