Polyta issues $185m notes

JAKARTA (JP): Tri Polyta Finance, the wholly-owned Netherlands-based subsidiary of propylene producer PT Tri Polyta Indonesia, has issued guaranteed secured notes worth US$185 million.

The company announced Wednesday that proceeds of the issue would be loaned to Tri Polyta Indonesia, which guaranteed the non-callable notes.

The notes are due to mature in 2003.

Tri Polyta Indonesia said Monday's offering was oversubscribed by $10 million from its original $175 million target.

Standard and Poor's and Duff and Phelps Credit Company rated the notes BB-minus while Moody's Investors Service gave them a B1 rating.

Tri Polyta Finance said it expected to receive $177 million from the offering, after underwriting and other issuing expenses, to repay outstanding debts and fund petrochemical projects for feedstock and specialty chemicals.

The offering was lead managed by Merrill Lynch and Lehman Brothers, while Donaldson, Lufkin and Jenrette acted as co- managers.

Tri Polyta Indonesia, listed on the Jakarta and New York stock exchanges, makes polypropylene resins for consumer and industrial plastic products. (01)