Pelindo 2 Issues US$1bn Global Bonds Next Year
3 November 2014 14:56 WIB
TEMPO.CO, Jakarta - PT Pelabuhan Indonesia 2, the state-owned port management company, plans to issue global bonds worth US$ 1 billion. Pelindo 2 president director Richard Joost Lino, said the issuance proceeds will be used to finance the development of Terminal New Priok, Jakarta, and the construction of three other ports across the nation.
"The bonds will be issued around April next year," Lino said last weekend.
The three ports that will be built are located in Sorong, Papua; West Kalimantan; and South Sumatra. The construction is aimed at supporting Indonesia's maritime program launched by President Joko Widodo.
To work on the three projects, Pelindo has allocated Rp6 trillion for next year's capital expenditure (capex). According to Lino, construction will start in the third quarter of 2015 and targeted for completion in two and a half years.
The three ports are expected to increase the company's port capacity by up to eight percent to seven million TEUs, with a profit target of Rp2.5 trillion.
"Our assets will increase to Rp40 trillion next year," he said.
FAIZ NASHRILLAH | AMOS SIMANUNGKALIT
