Astra to refinance $240 million debt

Astra to refinance $240 million debt

JAKARTA: PT Astra International, Indonesia's largest car maker, is seeking a syndicated bank loan to refinance its US$240 million debt.

"We are looking for a loan that carries a lower interest rate to refinance the debt," Astra Finance Director John Slack told Dow Jones on Wednesday.

Slack expected Astra to strike a loan deal with several foreign banks and creditors by October.

"Astra will then complete the refinancing of the $240 million debt by the end of this year," he said.

Astra has been trying to reduce its large overseas debt since the 1997-1998 Asian financial crisis. Its current debt total is a sharp drop from the $750 million owed at the end of 2002. -- Dow Jones