Ciputra Adigraha gets $260m loan

JAKARTA (JP): Ciputra Adigraha, through its wholly owned subsidiary Ciputra Adigraha Finance BV, has secured a syndicated loan of US$260 million to support its property projects.

The company said the loan signed in Denpasar Saturday had been provided by 17 local and foreign banks.

PT Ciputra Adigraha, a joint venture of Ciputra Group, Hong Kong and Shanghai Hotels Limited and NatSteel Properties Limited, would use the loan to finance the construction of the 125,000- square-meter Mal Ciputra shopping center, the 300-room five-star diamond Peninsula hotel and the 620-room four-star Ciputra hotel on one site in Jakarta.

Candra Ciputra of Ciputra Adigraha said the loan reflected the 17 banks' confidence in the shareholders and the project.

HSBC Investment Bank Asia Limited's Singapore branch arranged the loan, in which Hong Kong and Shanghai Banking Corporation Limited, Keppel Bank, PT Bank Negara Indonesia Tbk and Mayalan Banking Berhad acted as co-underwriters.

Other participants include Societe Generale, Tat Lee Bank Limited, Overseas-Chinese Banking Corporation Limited, PT Bank Negara Indonesia Tbk, Wing lung Bank, Banque Nationale de Paris, Bank of Commerce (L) Limited, Bank of China, Den Danske Bank, Bumi Daya International Finance Limited, Staco International Finance Ltd., First Commercial Bank Ltd., Ta Chong Bank Ltd., and KEXIM Asia Limited.

The mixed development is expected to be a landmark in Jakarta's Golden Triangle district, which is expected to become an international tourism and shopping belt.

Candra said the mall was expected to be completed in early 1999, and the two hotel towers would be finished by early 2000.

"Once the project is completed, it will be expected to draw between 200,000 and 300,000 people every week," he said. (13)