PT Merdeka Copper Gold Tbk (MDKA) has set that the coupon for the second phase of sustainable bonds in 2020 ranges from 7.50-9.85%.

Referring to the additional prospectus published on Monday (22/3), the bonds offered are up to Rp1.5 trillion in this first phase. This amount is part of the sustainable bonds II  program with a target of funds raised as much as Rp3 trillion.

In this first phase, the company offers the continuous bonds two series. It is an A series worth Rp559.6 billion with a 7.50% coupon and 367 days tenor and a B series worth Rp940 billion with a 9.85% coupon and 3-year tenor.

To issue these bonds, the company has obtained a rating from Pefindo, namely "A".  The company picked  Indo Premier Sekuritas, Sucor Sekuritas, and Sinarmas Sekuritas as the underwriters. The company entrusted the trustee to BRI (Persero) Tbk.

Meanwhile, the company received the effective statement from the OJK on March 19, 2021. The implementation schedule is: public offering period starts on March 23-24, 2021, allotment of March 25, 2021, refunds of orders and distributions on March 26, 2021, the listing of bonds on the IDX March 29, 2021.

The company plans to use around 23% of the proceeds from the issuance of bonds for the payment of all principal debt arising under the single currency revolving facility agreement of US$25 million on December 23, 2020. PT Bumi Suksesindo will use around 11% to fund part of its capital expenditure needs. The company and subsidiaries will use approximately 66% for working capital.