Hutama Karya Offers IDR 1.5 Trillion in Securities, Including IDR 500 Billion Sukuk Mudharabah

Indonesian state-owned contractor company Hutama Karya (HK) will issue debt securities worth a total of IDR 1.5 trillion, made up of bonds and Sukuk. According to a recent prospectus, HK will offer Sustainable Sukuk Mudharabah I Phase I 2021 amounting to IDR 500 billion, which is part of HK’s Sustainable Mudharabah Sukuk sustainable public offering (PUB) with a target of IDR 1 trillion. In addition, HK will conduct a PUB of Phase I 2021 Shelf-Registered Bonds with a principal of IDR 1 trillion, which is part of HK’s PUB Sustainable Bonds II, with a target fund of IDR 2 trillion.

Why it Matters?

The funds raised from the Sustainable Sukuk offering will be used by HK for business activities to replace funds sourced from company loans that d...