PT Golden Energy Mines Tbk (GEMS) received a US$180 million loan facility or around Rp2.73 trillion from Bank Mandiri.
As quoted from the stock exchange's disclosure, the Corporate Secretary of Golden Energy Mines, Sudin, explained that the loan was obtained on July 31. Later, the Sinar Mas Group's coal issuers will use it for various general corporate purposes that will support operational growth.
"The term of this facility is 5 years," he said, quoted by Fortune Indonesia, Thursday (3/8).
In detail, these general objectives include, but are not limited to: refinancing old facilities at Bank Mandiri; financing capital expenditure ( capital expenditure ); operating expenditure financing ; financing costs incurred on syndicated credit agreements; as well as financing the company's operational working capital.
Golden Energy is also optimistic that the loan will strengthen financial conditions and have a positive impact on the company's business continuity.
Loan type
Apart from GEMS, this loan will also be distributed to PT Borneo Indobara, PT Kuasing Inti Makmur, PT Barasentosa Lestarai and PT Roindhill Capital Indonesia—all of which are direct and indirect subsidiaries.
The loan facility in question is of the type of term loan consisting of tranche A-term loans and tranche B-term revolving loans with respective loan limits of up to US$50 million and US$110 million. As for the accordion facility, which allows debtors to increase the ceiling limit or add a term loan, a maximum of US$20 million.
"The company and its subsidiaries will carry out collateral binding after obtaining the necessary GMS approval in accordance with the applicable laws and statutes," said the statement.
Image source: ANTARA PHOTO/BAYU PRATAMA S/WSJ
