Mandiri ready to provide Gresik loan

Mandiri ready to provide Gresik loan
Published: 10 December 2008

Indonesia’s largest lender PT Bank Mandiri  said it was ready to provide Rp7 trillion (US$700m) to state-owned cement maker PT Semen Gresik, to fund its plans to build a new US$1.5bn cement factory.

Other financers including a syndicate of the Hong Kong and Shanghai Bank, the Royal Bank of Scotland, BNP Paribas and Bank DBS, have also indicated their interest in becoming the financer of the project, a bank executive told the newspaper Bisnis Indonesia.

Semen Gresik vice president Heru D. Adhiningrat said the company hoped to secure funding this month for capital spending.

Earlier, Semen Gresik president Dwi Soetjipto said a syndicate of five banks offered to provide a loan of US$800 million to finance the project, expected to be completed in 2011.