Sierad plans to issue bonds worth Rp 300b<\/p>\n
JAKARTA (JP): PT Sierad Produce, a subsidiary of the publicly
\nlisted PT Anwar Sierad, plans to issue five year bonds worth Rp
\n300 billion (US$115.83 million) later this year to finance
\nexpansion, a company executive said yesterday.<\/p>\n
Senior Vice President Sidhesh Kaul said that Rp 180 billion of
\nthe bond proceeds would be used to expand the company's retail
\nbusiness.<\/p>\n
\"The remaining Rp 120 billion would be used to increase the
\nworking capital and refinance debts,\" he told a press briefing.<\/p>\n
PT Trimegah Securitas will become the lead underwriter of the
\nbonds issuance.<\/p>\n
He said the bonds, which received a BBB rating from PT
\nPemeringkat Efek Indonesia (Pefindo), would be 90 percent sold to
\ndomestic investors and the remaining 10 percent to foreign
\ninvestors.<\/p>\n
The company's director, F.X. Awi Tantra, said the company
\nbooked a net profit of Rp 20 billion in the first quarter, with
\nnet sales reaching Rp 134 billion during the period.<\/p>\n
He said last year the company's net profit was Rp 27.09
\nbillion, with net sales totaling Rp 454.35 billion.<\/p>\n
Anwar Sierad, an integrated poultry company, has entered into
\njoint ventures with overseas companies including Bridor of France
\nto manufacture frozen dough and Triballat of France to produce
\nsoya derivatives.<\/p>\n
\"This strategic alliance is expected to strengthen our retail
\nposition,\" Sidhesh said.<\/p>\n
He said total investment for frozen dough would be about US$30
\nmillion.<\/p>\n
\"The plant will be located in Jakarta,\" he said.<\/p>\n
He said total investment for soya derivative plants would be
\nabout $50 million.<\/p>\n
\"About US$25 million will be financed by the company's
\nequity,\" he said, adding that Sierad Produce would provide $12.5
\nmillion and the French Triballat would provide the remaining
\n$12.5 million.<\/p>\n
He said the company has obtained a full franchising license to
\noperate Hartz, La Brioche Doree, Del Arte, Kuk-K-Ru and Mrs
\nRoastie in Indonesian and regional markets.<\/p>\n
Previously, the company had expanded its fast food business to
\nShanghai, Hong Kong, Taiwan and Malaysia.<\/p>\n
Sidhesh declined to disclose the company's financial target
\nfor this year.<\/p>\n
He said the current rupiah depreciation would have a small
\nimpact on the company's financial performance this year as the
\ncompany had hedged its dollar position.<\/p>\n
\"Besides that, our foreign exchange exposure is so small,\" he
\nsaid.<\/p>\n
But Sidhesh said the currency turbulence which hit the rupiah
\nhad forced companies operating in Indonesia to adjust their
\nfinancial performance this year. (aly)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/sierad-plans-to-issue-bonds-worth-rp-300b-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}