UT to refinance $90m debt in 2005

UT to refinance $90m debt in 2005

JAKARTA: PT United Tractors, a distributor and producer of heavy equipment, is considering refinancing a US$90-million debt this year through an issuance of bonds or by taking out new bank loans, a senior official said on Friday.

"We are making a preliminary study of the possibility of either issuing bonds or seeking bank loans to refinance the debt," United Tractors Finance Director Buntoro Muljono told a news conference.

The move is aimed at improving the company's financial structure, paving the way for it to expand further, he added, without elaborating.

Indonesia's largest automotive company Astra International owns a 56.5% stake in United Tractors. -- Dow Jones