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Toll road operator lists Komodo bonds on LSE
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State-Owned Enterprises Minister Rini Soemarno (center), PT Jasa Marga executives and London Stock Exchange officials pose after Jasa Marga listed its Komodo bonds on the bourse on Wednesday. (Courtesy of/State-owned Enterprises Ministry)
State-owned toll road operator PT Jasa Marga listed its global rupiah bonds on the London Stock Exchange (LSE) on Wednesday.
Jasa Marga aims to collect Rp 4 trillion (US$280 million) from the debt papers. Demand for them has reached about Rp 15.7 trillion.
“I am happy to see that many global investors purchased the Komodo bonds,” said Jasa Marga president director Desi Arryani in London as reported by kontan.co.id, adding that the three-year term bonds with a coupon interest rate of 7.5 percent annually had attracted investors from Asia, Europe and North America.
Securities firm BCA Sekuritas economist David Sumual said the issuance of the bonds on the LSE would gain the attention of global investors because of the coupon interest rate.
“The intensive construction of infrastructure projects made the debt papers more attractive,” he said.
Ashmore Asset Management analyst Anil Kumar said the rate was not the only factor that made the bonds attractive as "investors also took note of the company's default risk, debt papers and firm ratings as well as the economic conditions of the country."
Meanwhile, Indonesia Stock Exchange (IDX) company assessment director Samsul Hidayat said the listing of the Komodo bonds on the LSE would have a positive impact on the country's investment climate.
“It indicates that foreign investors trust Indonesia. They did not hesitate to invest in [Indonesian] bonds,” he said. (bbn)
