Saturday, 06/03/2010 00:00 WIB
BCA Finance bonds lure investors
M. Tahir Saleh (my friend's report)
for Bisnis Indonesia
JAKARTA: The issuance of PT BCA Finance worth IDR600 billion was oversubscribed due to the high interests expressed by investors.
Bond issuance here is meant to meet the target of booking worth IDR13.50 trillion this year.
The IDR500 billion BCA Finance bonds had 1.42 times oversubscription and the IDR100 billion subdebt had 1.23 times oversubscription along with the positive response from investors.
BCA Finance President Director Roni Haslim said the BCA Finance III bonds worth IDR500 billion will be issued in four series, namely the A series with 15 months tenure and 8.65 percent coupon per annum, B series with 24 months tenure and 9.05 percent coupon, C series with 36 months tenure and 10.45 percent, and D series with 48 months tenure and 10.95 percent coupon. The bonds here got AA rating from the Fitch Ratings and AA- from PT Pemeringkat Efek Indonesia (Pefindo).
The subdebt of BCA Finance I that has 60 months tenure with AA- rating from the Fitch and A+ from Pefindo I offered 11.20 percent coupon per year.
"We aim to get IDR13.50 trillion booking consisting of IDR4.5 trillion used cars and IDR9 trillion new car credits," he said yesterday.
Roni said all the funds generated from bond issuance was deducted from issuance cost will be allotted for working capital of consumer financing which focuses on new car financing.
The company will use the cash here to improve capitalization structure and cut down risk of imbalance interest rate and period.
Bond issuance here goes along with the better macro economy condition and business prospect in Indonesia so the company believed investors will give positive response.
"We have confidence with the first subdebt issuance in multifinance industry to public due to the better economy condition so as to lure investors," he said.
The bond issuance of subsidiary firm of PT Bank Central Asia Tbk (BCA) here seeks cooperation with PT Kresna Graha Sekurindo Tbk, PT DBS Vickers Securities Indonesia, and PT OSK Nusadan Securities Indonesia as the underwriters.
BCA Finance also claimed to have financial support of at least IDR10 trillion from BCA as the commitment of the major shareholder to boost up financing business growth.
The company expected to get effective statement from Bapepam-LK March 11, 2010 and bookbuilding on March 15-18, 2010. (Bisnis/MTS)