Pefindo cut down Truba Jaya bond rating

Saturday, 26/06/2010 00:00 WIB

Pefindo cut down Truba Jaya bond rating

Irvin Avriano A.

Bisnis Indonesia

JAKARTA: PT Truba Jaya Engineering, the subsidiary firm of PT Truba Alam Manunggal Engineering Tbk, is potentially to be default for the DIR200 billion payment of I/2007 bonds maturing on July 8.

This is unveiled in the research result of PT Pemeringkat Efek Indonesia (Pefindo) released yesterday. In the research, analyst of Pefindo Rifan Firmansyah downgraded the bond rating by three levels as from idBBB+ to the level idBB+, which is out of investment grade.

The rating also has negative implication outlook prospect which shows the questionable capacity to pay the bonds.

“The company has not got fixed plan for new bank loan expansion as the company has not got any bank commitment,” he said.

The company has IDR305.9 billion balance cash per May but it should pay DIR455.7 billion short term loans maturing this year. The corporate finance statement last year showed the company only had IDR76.35 billion cash or cash equal.

The 2009 financial statement also shows that company has obligation to provide payment fund and payment of the 11.75 percent coupon payment per year. The company is also obliged to keep the loan to equity ratio under 2:1.

Formerly, Pefindo has placed the corporate bond rating prospect on negative monitoring in May by considering the potential failure of getting loan commitment for the bond payment.

But Pefindo recorded the rating drop should be done as the company so far has not got any loan commitment.

The company focuses on project management service, fabrication, engineering, and construction of various industry.

Some 96 percent shares are owned by Truba Alam Manunggal through PT Manunggal Infrasolusi. Not only Truba Alam, the other shareholders consist of PT Multi Enegeri Persada with 2.3 percent possession and PT Kurnia Unggul Sejahtera 1.7 percent.

Corporate Secretary of Truba Alam Gamala Virasa Katoppo was not available for comment yesterday.

The rating plummet implies to the correction of Truba Alam, TRUB, stock price by IDR3 or 2.77 percent into IDR105 with market caps DIR1.65 trillion.