PT Mulialand, Sierad raise $107m in loans

PT Mulialand, Sierad raise $107m in loans

JAKARTA (JP): PT Mulialand and PT Sierad Produce received a
total of US$107 million in syndicated offshore loans yesterday.

PT Mulialand, a large publicly-listed company involved in
property and construction, raised $85 million in loans yesterday
from issuing its floating rate notes.

Haryanto Thamrin, Mulialand's director, said after signing the
agreement on the notes that all the funds would be used to
finance the Taman Anggrek condominium project, which belongs to
its subsidiary, PT Mulia Intipelangi.

"We are also going to issue bonds worth Rp 100 billion
(US$43.7 million) on the local market to finance the Taman
Anggrek project," Haryanto said, adding that the bonds can be
paid within a five-year period.

"From the issuance of the floating rate notes and the bonds,
about Rp 300 billion will be used to finance the project," he
said.

Haryanto explained that the notes, which carry an annual
interest rate of 2.5 percent above the London Inter-Bank Offered
Rate, will mature in September 1997.

"The issuance of such notes could be a breakthrough in the
property sector, especially because the notes have sold-out
overseas," Haryanto said.

Anthony Loh, managing director of Peregrine Fixed Income Ltd.,
a lead manager of the notes, said the notes were listed on the
Singapore and the Luxembourg stock exchanges.

Aside from Peregrine Fixed Income, the other lead managers of
the deal were Societe Generale Asia Limited, BRI Finance Limited
and Hyundai International Merchant Bank.

The co-lead managers were the Agricultural Bank of China
Singapore branch, Bank Bumiputra Malaysia Berhad Singapore
branch, Hanmi Leasing & Finance (HK) Limited, Korea Long Term
Credit Bank and Public Bank (L) Ltd., while the managers of the
deal were Cho Hung Leasing & Finance (HK) Ltd., Bank of Commerce
(L) Limited, KEB Leasing & Finance Limited, UMBC International
Bank (L) Ltd., Asiana (HK) Finance Limited and Niaga Finance
Company Limited.

Haryanto said that his company projects a net profit of Rp 90
billion and net sales of Rp 181 billion this year.

As of last December, PT Mulialand recorded total assets of Rp
1.2 trillion, up from Rp 969 billion as of December 1993, while
its after-tax profit increased to Rp 77.23 billion last year from
Rp 25.92 billion in 1993.

PT Mulialand is 65.37 percent owned by PT Muliasentra
Gunaswakarya, 28.02 percent by PT Muliamustika Tataindah and 6.61
percent by the investing public.

Sierad

Meanwhile, PT Sierad Produce, a subsidiary of PT Anwar Sierad,
also received yesterday a syndicated credit facility of $22
million from Rabobank Asia Limited Singapore, PT Rabobank Duta
Indonesia Jakarta, Sakura Merchant Bank Singapore, The Sanwa Bank
Limited Singapore, Societe Generale Singapore and PT LTCB Central
Asia Jakarta.

President of the Sierad Group, Budiardjo Tek, said yesterday
that the facility carries annual interest of 1.125 percent above
Singapore Inter-Bank Offered Rate, which currently stands at 6
percent per annum, and will mature in three years.

The facility, he said, would be used for working capital and
investments for Wendy's fast-food outlets.

Anwar Sierad, which is listed on the Jakarta Stock Exchange,
operates an integrated poultry and down-stream food businesses.

Last year, the group's operations were limited to day-old
chick (DOC) breeding, poultry feed production, dressed chicken
production and poultry equipment distribution.

It will start new operations this year, including hydroponic
vegetables, value-added food production, fishmeal production,
animal pharmaceutical manufacturing and fast-food franchising of
Wendy's.

Budiardjo said that hydroponic vegetables and value-added food
products will be in the market in the near future while fishmeal
and animal pharmaceutical production will start in the fourth
quarter of this year.

He said that ten Wendy's outlets are scheduled to be opened in
1995 and another 20 next year.

Anwar Sierad's total assets as of 1993 were recorded at Rp
642.2 billion and its after-tax profits at Rp 13.8 billion.
(31/pwn)