Indomobil sets bond coupon

Indomobil sets bond coupon

JAKARTA: PT Indomobil Sukses Internasional, the country's second- largest auto-distributor, will set coupons ranging from 9.5 percent to 12.25 percent on the Rp 300 billion (US$32.3 million) of bonds it will sell in October.

Rp 50 billion of 370-day bonds will be sold with a coupon of between 9.5 percent and 10.25 percent while Rp 75 billion of two-year bonds will carry a coupon of between 10.75 percent and 11.25 percent. The Rp 175 billion of three-year bonds will have a coupon of between 11.75 percent and 12.25 percent, said Andrew Haswin, a director at PT Kresna Graha Sekurindo, which is managing the sale, at a press conference in Jakarta.

PT Indomobil Finance Indonesia, the company's subsidiary, will sell the bonds and the funds will be used to increase loans to meet rising demand. Interest will be paid quarterly, he said. -- Bloomberg