Sampoerna Agro to Issue Securities Worth IDR 569.5 Billion, Including IDR 395 Billion Sukuk Ijarah

Indonesian palm oil and palm kernel producer, Sampoerna Agro (SGRO) has announced plans to issue securities worth IDR 569.5 billion on the 17th of March 2021, comprising of Phase II Sustainable Sukuk Ijarah I Year 2021 (Sukuk) amounting to IDR 394.89 billion and Sustainable Bond I Phase II Year 2021 (Sustainable Bonds) valued at IDR 174.62 billion, according to local media reports.

Why it matters?

The Sukuk is part of SGRO’s Sustainable Sukuk Ijarah I with a target fund of IDR 1 trillion, which is rated ‘idA-(sy)’ by Pemeringkat Efek Indonesia (Pefindo). Proceeds of the Sukuk funds (100%) will contribute towards early repayment of debts of SGRO’s subsidiary, Usaha Agro Indonesia to Bank OCBC NISP, which as of end of 2020, amou...