PT Lippo Karawaci Tbk (LPKR) issued bonds amounting to 130 million U.S. dollars, which is offered at the price of 104.375 with a yield of 5.24 percent. Special bond maturing in 2020 had 6.5 times oversubscribed.

PT Lippo Karawaci Tbk (LPKR) issued bonds amounting to 130 million U.S. dollars, which is offered at the price of 104.375 with a yield of 5.24 percent. Special bond maturing in 2020 had 6.5 times oversubscribed.




"We are thrilled with the response we received. The successful issuance of bonds at competitive prices reinforces the belief that the global market will believe LPKR business strategy, growth prospects and management LPKR, " said Presiden LPKR director Ketut Budi Wijaya, in a press release Thursday (01/10/2013) .

This makes the issuance of new bonds that would total LPKR bonds will fall due in 2020 to 403.3 million dollars as the previous LPKR has 273.3 million dollars bond. Deutsche Bank acted as Sole Global Coordinator and Joint Bookrunner, while Bank of America Merrill Lynch, Credit Suisse and Citi acted as joint book-runners.

New bonds are rated B1 by Moody's and BB-respectively from S & P and Fitch with outlook 'stable'.

Asian investors have been allocated 86 percent and the rest to European investors. 77 percent is allocated to the asset managers, 39 percent for private banks, and 10 percent for other banks.

Bond issuance also strengthens balance LPKR where almost all LPKR debt will mature in 2019 and 2020. The results of these bonds will be used to finance bonds that will mature LPKR 2015, the callable in April 2013.

LPKR an open property company in Indonesia by market capitalization, total assets and revenues, which are reinforced with extensive land bank and solid recurring income base. LPKR listed on the Indonesia Stock Exchange with a market capitalization of Rp 23 trillion. LPKR business divisions include Residential / Township, Retail Malls, Hospitals, Hotels and Asset Management.