Indonesia

Asia’s debt capital markets show no sign of slowing down as the year end approaches, with recent deals proving that investors still have plenty of cash to deploy. Market participants expect at least one more high-profile deal to close in what is poised to be a record December, writes Rev Hui.

The Republic of Indonesia has gone against its normal strategy of raising conventional dollar bonds at the start of the year by issuing a massive $3.5bn dual-tranche offering on December 1. It broke with its policy for the first time in years in a bid to lock in low rates ahead of this month’s expected rate hike by the Federal Reserve.

The Republic of Indonesia has returned to the dollar bond market for the third time this year for an up to $4bn deal, while eHi Car Services and Golden Wheel Tiandi Holdings are attracting high yield bids.

Saka Energi Indonesia, a subsidiary of Perusahaan Gas Negara, has hit the market for a financing of up to $600m and is giving banks the option of booking the loan onshore or offshore.

Indonesian miner Berau Coal Energy is conducting a tender offer to buy back its two outstanding dollar bonds, the company announced on November 24.

India’s Reliance Industries signed its $1.47bn dual-currency loan at the end of last week in Dubai, with the deal sealed following commitments from a group of around 30 lenders.

Saka Energi Indonesia, a subsidiary of Perusahaan Gas Negara, has hit the market for a financing of up to $600m and is giving the banks the option of booking the loan onshore or offshore.

The Republic of Indonesia has picked 10 banks for a 2016 bond panel and mandated four of them to work on a dollar offering that could raise up to $4bn.

A $328.6m loan for poultry feed producer Charoen Pokphand (CP) Indonesia has seen nine lenders join, as the borrower sealed most of the funds in its local currency while capping the dollar portion at $100m.

Kino Indonesia opened books for its Rph1.5tr ($110m) IPO on November 10 with a strong shadow anchor book built ahead of time, giving the leads visibility on the whole transaction.

Indonesia’s Summarecon Agung has pulled a planned $200m-$250m IPO of Summarecon Investment Property (SIP) at the eleventh hour to pursue a real estate investment trust (Reit) instead.

Indonesia’s Trikomsel Oke looks set to miss a payment on its Singapore dollar bonds, the first such case in more than six years in the city-state. Although the move is expected to increase volatility in the short term, sources hope it will also shake up any complacency in the market, writes Narae Kim.