Semen Gresik to sign US$604.8m loan for expansion

Semen Gresik to sign US$604.8m loan for expansion
Published: 13 May 2009

Semen Gresik (SG), will sign a loan agreement worth IDR6.3trn (US$604.8m) with a number of local banks this month, an executive says.

SG finance director Cholil Hasan said Tuesday the signing would be the follow up to a memorandum of understanding signed in December with Bank Mandiri, the lead arranger for the loan agreement.

"The loan will be used to finance part of capital expenditure," of $1.3 billion to be spent within five years, from 2008 to 2014, Cholil said.

Mandiri, the country’s biggest bank by lending, would consolidate other local banks to participate in the loan, but Cholil did not disclose at this stage the identities of the other banks.

Source: The Jakarta Post