Danareksa's bond coupons set at 8.875%-10.75%

JAKARTA: PT Danareksa (Persero) sets its IDR500 billion bond coupons at 8.875% to 10.75%.At a public expose held today, coupon for Danareksa's three-year V bond of series A is set at level 8.875% up to 9.626%. Meanwhile, the coupon for its five-year series B is 9.625% up to 10.375%.President Director of Danareksa Edgar Ekaputra revealed about 66% or IDR330 billion of the proceeds from the bond issuance is to be used for repaying Danareksa IV bond issued in 2009 and Danareksa III bond issued in 2008."Danareksa IV Bond valuing IDR200 billion will mature on April 14, 2011, and Danareksa III bond worth IDR130 billion matures on June 20, 2011," he said today.Meanwhile, 20% or US$100 billion of the proceeds from the bond issuance is to be used as the paid-in capital for its new subsidiary, i.e. PT Danareksa Capital. The rest of 14% will be used for short-term investments.Regarding the establishment of Danareksa Capital, Director of Danareksa Heru D. Adhiningrat said the company is seeking for energy financing, particularly hydropower plant.In addition, Danareksas subsidiary is also targeting infrastructure financing. (T06/NOM)