
Jakarta, 13 July 2022 – PT JACCS Mitra Pinasthika Mustika Finance Indonesia (the Company), has signed an offshore syndicated facility agreement with 20 financial institutions on 1 July 2022.
The facilities obtained are worth a total of USD250 million equivalent or This equivalent of Rp3.7 trillion is issued in two currencies, namely United States Dollar (USD) and Japanese Yen (JPY) for a period of 4 years. Acting as Mandated Lead Arrangers, Underwriters and Bookrunners in this facility is MUFG Bank, Ltd. (MUFG) and Mizuho Bank, Ltd. (Mizuho). This overseas syndicated loan facility is the 6th time that the Company has obtained. Previously in May 2019, the Company also managed to obtain a similar facility with a value of USD250 million from 20 financial institutions. The company is also careful in its funding plans, including by reducing the portion of foreign currency loans. Of course, this is done by considering funding needs and market conditions.
"This overseas syndicated loan facility is one of the Company's strategic steps as a form of diversification of funding sources in addition to bilateral bank loan facilities from within and outside the country," said Hajimu Yukimoto, Finance Director of JACCS MPM Finance Indonesia.
In 2022, the Company also plans to conduct a public offering of sustainable bonds worth Rp600 billion.
The financing industry still has very good prospects, mainly due to Indonesia's fairly good economic growth and recorded an increase of 3.69% in 2021. Indonesia's economic growth is mainly supported by government consumption and investment as well as public consumption. In addition, the growth of the automotive market in Indonesia is still promising as the largest automotive market in ASEAN. In addition, the Company has strong support from shareholders, namely business support from PT Mitra Pinasthika Mustika Tbk in relation to financing a new Honda motorcycle and financial support from JACCS Co.,Ltd. in obtaining funding sources at competitive costs. JACCS is an affiliated company using the equity method of MUFG Bank, Ltd.
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