Bapindo gets $125m loan

Bapindo gets $125m loan

JAKARTA (JP): The state-owned Bank Pembangunan Indonesia (Bapindo) has signed a subscription agreement with a number of banks and financial institutions in London on floating rate notes worth US$ 125 million.

Bapindo said in a statement yesterday that under the agreement signed last Friday by the bank's president, Arbali Sukanal, the notes have a maturity of seven years and carry a coupon rate of one percent per annum above the London Inter-Bank Offered Rate.

The bank will use the loan to strengthen its working capital and improve the maturity profile of its funding structure, the statement said.

It said the arrangement of the note issuance was led by the London Forfaiting Company Far East Ltd., and participated in by ING Bank, Indover Bank of the Netherlands, Westdeutsche Landes Bank Asia Pacific Ltd., KEXIM Asia Ltd., Korea Merchant Banking Corporation and Bank of Seoul of South Korea.(32)