Waskita plans to issue US$210 million in global bonds

Global bonds highly depend on rating from international (rating) agencies.

Jakarta (ANTARA) - State-owned construction company PT Waskita Karya (Persero) plans to issue global bonds worth US$210 million in a bid to strengthen its refinancing system and improve its performance.

The option to issue the global bonds will always consider market developments, PT Waskita Karya Finance Director Haris Gunawan remarked in Jakarta on Monday.

The company is yet conducting discussions on the plan to issue the bonds, he stated.

"Global bonds highly depend on rating from international (rating) agencies," he pointed out.

Proceeds from the issuance of the global bonds will be directed to finance new investment and build several sections of the toll road in which the company invests, he stated.

The plan to issue the global bonds is also part of the efforts to find the lowest risk, particularly in terms of cost and other factors, such as tenor.

Gunawan noted that during the second semester of 2019, Waskita also plans to divest its shares in two sections of the toll road it manages.

PT Waskita Karya reportedly secured new contracts worth Rp8.18 trillion in the first semester of 2019 as compared to Rp7.65 trillion during the corresponding period last year.

The contracts include those from the Juanda Airport in East Java worth Rp623 billion; Istiqlal Mosque in Jakarta, worth Rp423 billion; Hasanudin Airport in South Sulawesi, worth Rp422 billion; Becakayu toll road in West Java, worth Rp773 billion; Rest Area at the Bakaheuni-Terbanggi Besar section of the Trans Sumatra toll road in Lampung, worth Rp343 billion; and Revitalization of the Ragunan Youth Sport in Jakarta, worth Rp381 billion.

Source: ANTARA News

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