JAKARTA, April 8 (Reuters) – Indonesia’s biggest toll road operator, PT Jasa Marga (JSMR.JK), plans to issue at least 1 trillion rupiah ($110.6 million) in bonds in the second half of 2010, the company’s finance director said on Thursday.
Reynaldi Hermansjah, Jasa Marga’s finance director, said the money raised would be used to refinance maturing debt and fund capital expenditure.
“We have several bonds worth about 650 billion rupiah that are going to mature by the end of year,” said Hermansjah.
“Therefore, we plan to refinance them through issuing a minimum 1 trillion rupiah of new bonds in the second half,” he said.
Some the funds raised would also be used to help finance 3 trillion rupiah of capital expenditure this year, mostly to acquire several new toll roads, he said, adding the firm was also looking at using commercial loans to finance its capital spending.
Jasa Marga, which has a $1.4 billion market capitalisation, said in February that it plans to acquire majority stakes in companies that operate a section of the Jakarta Outer Ring Road and a section of another road in East Java.
(Reporting by Janeman Latul, Editing by Ed Davies)