EGM PT Nusantara Infrastructure Tbk : Refinancing, an Evidence of Increased Banking Trust
Jakarta, 22 August 2011
As time passes, PT Nusantara Infrastructure, Tbk experiences significant development and grows into a leading infrastructure company in the country. The Company has strong commitment and credibility in its sector. Under the highly dedicated management, the Company which has been listed in the stock market since 2006 with the code META continues to drive itself. The Company engages in infrastructure and has built quite some portfolios, among which are Bintaro – Serpong toll road section, Port of Makassar toll road, Seksi Empat Makassar toll road and Lingkar Barat 1 toll road which connects Kebon Jeruk and Penjaringan.
In line with the development of the Company, the level of public trust continues to rise. Similarly in the circle of banking. In seeking to improve its performance, the Company constantly strives to find a cheaper alternative financing from banks. On this occasion, EGM PT Nusantara Infrastructure Tbk was held with an agenda of refinancing attestation the Company acquired from Bank BCA. Refinancing through Bank BCA provides added value to the Company's cash position. In addition, the Company benefited from the lower interest rate when compares to the previous rate, which is 9.75% fixed for the first year. The adjustment of the interest rate for the next period is based on Bank BCA deposit interest rate plus a margin.
"Refinancing will also automatically support the Company’s power in the effort to continue developing its business," said Bernardus Djonoputro, Managing Director of PT Nusantara Infrastructure, Tbk. Market participants are certainly aware that the cost of fund of Bank BCA is very competitive compared to the cost of fund of others national private banks in Indonesia. In the long run, at least until the expiration of the loan, refinancing is beneficial for the Company's cash flow and liquidity. Thus, the Company can focus on business development.
As mentioned on previous occasion, the Company will focus on business development in the Brown Field and Green Field projects. Brown Filed projects include the development of port in Sumatra. Regarding Green Field projects, the Company will be involved in PPP projects in water and harbor installation sectors.
The Company continues to establish itself as a leading company in infrastructure investment, in 2010 the Company concentrated on the growth of its toll road subsidiary. Traffic volumes and revenues have increased; for example, in February last year the number of traffic volume in Lingkar Barat Satu toll road segment which was inaugurated by Vice President Boediono reached 669,923 in the first quarter; and at the end of last quarter was recorded 3,512,874 vehicles. Traffic volume on Bintaro-Serpong toll road increased by 9,3%, and revenue increased by 19,5%. In BMN Makassar toll road, traffic volume increased by 12%, while revenue increased by 27,7%. Meanwhile in JTSE segment there was an increase in traffic volume by 29,1%, and 30,1% increase in revenue. From the overall increase the company achieved 31% performance improvement in 2006-2010.
"Through innovation, solid fund management and support of shareholders, the Company will be able to expand its portfolios into other sectors beyond toll roads, such as sea ports, energy, as well as other infrastructure supporting industries," said M. Ramdani Basri, President Director of PT Nusantara Infrastructure ,Tbk.
About PT Nusantara Infrastructure Tbk.
PT Nusantara Infrastructure, Tbk is listed in the Indonesia Stock Exchange with the code META.
The Company is one of the major players in infrastructure development. At present, the Company operates four toll roads through its subsidiaries namely: Bintaro -Bumi Serpong Damai (BSD) toll road, BMN-Makassar toll road, Jalan Tol Sesi IV (JTSE) Makassar, and JORR W1 Kebun Jeruk – Penjaringan.
The success of the Company includes being the only company capable of completing the construction of toll road project resulted from the Infrastructure Summit 2005.
Assets of PT Nusantara Infrastructure Tbk. grow significantly, and will continue to grow by targeting other infrastructure sectors, namely water supply, sea ports, and micro-hydro power plants.