Danantara Issues Inaugural US$1.5 Billion Global Bonds

The Daya Anagata Nusantara Investment Management Agency (BPI Danantara), through PT Danantara Investment Management (DIM), has issued its inaugural US dollar-denominated global bonds with a total value of US$1.5 billion. According to Business Times on Friday (12/6/2026), during the bookbuilding process, Danantara set final price guidance of 5.35% for the 5-year tenor notes and 5.95% for the 10-year tenor.

Meanwhile, various expansive policies under President Prabowo Subianto have drawn market attention in assessing Indonesia’s investment risk profile. In response to the weakening domestic currency, Bank Indonesia previously raised its benchmark interest rate by 25 basis points to 5.5%, aiming to stabilise the rupiah which had touched a record low against the US dollar.

Concerns are also mounting over the broadening of Danantara’s mandate, as the state-owned enterprise wealth manager was recently tasked with becoming the sole exporter of palm oil, coal, and ferroalloy starting September through a newly formed unit.

From a valuation perspective, Danantara’s bond yields are above those of Indonesian government dollar-denominated bonds maturing in 2036, which last traded at 5.6%. Meanwhile, Pertamina’s US dollar bonds with a tenor up to 2031 were recorded offering a yield of around 5.27%, based on LSEG data.

The proceeds from the US dollar bond sale will be used for general corporate purposes, including investment and refinancing existing debt. The bonds were issued under a US$5 billion Global Medium-Term Notes (GMTN) programme and are expected to receive a ‘Baa2’ rating from Moody’s and ‘BBB’ from S&P and Fitch. The firms appointed as joint bookrunners and joint lead managers for the transaction are Citigroup, DBS, HSBC, Mandiri Securities, and Standard Chartered.