Mulia raises $125m loan

Mulia raises $125m loan

JAKARTA (JP): Mulia Industrindo, a ceramics tile and flat glass producer listed on the Jakarta Stock Exchange, issued floating rate notes worth US$125 million yesterday.

A company director, Tony Surjanto, said in a statement yesterday that the interest rate of the notes, which will mature in three years, is floated at 1.25 percentage points above the London Interbank Offered Rates.

Proceeds from the issuance of the notes will be used to restructure the loans of PT Muliaglass, one of Mulia Industrindo's subsidiaries, he said.

The issuance of the three-year notes is supported by a number of international financial institutions, with Bank of America, JP Morgan and Bankers Trust acting as the main underwriters.

Mulia Industrindo, a member of the widely diversified Mulia Group, expects a 65 percent increase in its net profit to Rp 112 billion ($48.9 million) this year from Rp 67.5 billion in 1995. (hen)