BRI to issue bond worth RP 1t

BRI to issue bond worth RP 1t

JAKARTA: State-owned PT Bank Rakyat Indonesia (BRI) said on
Wednesday it expects to issue Rp 1 trillion rupiah in seven-year
subordinated bonds next month.

Bank Rakyat's President Director Rudjito told reporters he
expects the coupon rate to be set around 13 percent.

He didn't elaborate further or specify what the funds would be
used for.

Rudjito said there are three candidates that will be selected
to underwrite the bonds: local brokerage companies PT Danareksa
Sekuritas, PT Andalan Artha Advisindo Sekuritas and PT Trimegah
Securities.

BRI is one of several state-owned companies the government
plans to sell this year to raise Rp 8 trillion in funds to help
reduce the budget deficit. Other companies include PT Bank
Mandiri, the country's largest bank, and pharmaceutical company
PT Indofarma. --Dow Jones