Asia Roundup

As China’s Hidden Local Debts Shrink, a New Challenge Emerges

The more difficult task of tackling the murkier and more sprawling operational debt held by thousands of local government financing vehicles (LGFVs) is running into complications, partly in the form of high-interest, non-compliant debt that banks are reluctant to touch, Caixin reported.

This stalemate is contributing to a growing liquidity strain for LGFVs, which can roll over their principal but are increasingly struggling to pay the interest, raising concerns about a build-up of default risks.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

• 👣 Asia’s Restructuring Milestones: China’s Bankruptcy Law

Blackstone Raises its Largest Asia Private Equity Fund at $13.1 Billion

Blackstone announced the final close of Blackstone Capital Partners Asia III at $13.1 billion, exceeding its $10 billion target and marking the firm’s largest private equity fundraise in the region. The close represents more than double the amount of capital raised for its predecessor vehicle, according to its press release.

India’s SP Group to Complete Dual Tranche Debt Sale by Mid-June, Sources Say

India’s Goswami Infratech, a Shapoorji ‌Pallonji (SP) Group unit, is set to complete its large fundraising plan by mid-June, ahead of a month-end deadline to refinance nearly $2.5 billion in debt, Reuters reported, citing two sources familiar with the matter.

Goswami Infratech has now secured commitments from at least five foreign and domestic investors to ​subscribe to a planned rupee-bond issue, while the group fully ​secured commitments from investors for its dollar tranche.

The company will raise around INR 143 billion ($1.51 billion) through a three-year zero-coupon rupee bond issue, arranged ‌by ⁠Deutsche Bank. It will likely pay a yield of 18.95%, with investors mostly consisting of existing ones rolling over their investments.

• 💼 Brief Take: SP Group’s Tata Timer

• 💼 Brief Take: SP Group’s Chess Piece

• 💼 Brief Take: Keeping the SP Dream Alive

Indonesia Roundup

Indonesian Business Groups Call for Clarity About New Commodity Export Rules

Business groups in Indonesia called on the government to issue technical guidance for its plan to centralise exports and retain export proceeds in state banks, Reuters reported, citing their joint statement.

The Indonesian Employers Association, together with associations of miners, coal miners, nickel smelters and palm oil producers, said they supported the new rules, but hoped the government would work with the private sector on their implementation.

• 🛜 Indonesia Radar #1

• 🛜 Indonesia Radar #2

Singapore High Court Dismisses Indonesian Fugitive Paulus Tannos’ Bid to Challenge Extradition Process

Singapore’s High Court has dismissed an application by Indonesian businessman Paulus Tannos to challenge a decision that set in motion proceedings seeking his extradition to Indonesia over his alleged role in a major corruption case, CNA reported.

In a judgment issued on 29 May, Justice Aidan Xu ruled that Tannos, 71, had failed to establish a sufficient basis to allow a judicial review of a decision by Singapore’s Law Minister to proceed with Indonesia’s extradition request.

Tannos, a Singapore permanent resident, is wanted by Indonesia’s Corruption Eradication Commission (KPK) for his alleged role in a corruption scheme linked to the country’s electronic identity card project, or e-KTP project.

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

• 📒 Quick Take: Indonesia’s “New Order” Resurgence

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

“DAM or DIM?”

If you mention Danantara to people who have dealt with the Indonesian sovereign fund, they may ask you from the outset whether your matter falls under Danantara Asset Management (DAM) or Danantara Investment Management (DIM).

While Danantara is helmed by Chief Executive Officer Rosan Roeslani, a former Indonesian ambassador to the United States, DAM and DIM are run by different sets of officials who carry out different functions and tend to respect each other’s remit.

DAM – which is led by Danantara’s Chief Operating Officer and former Deputy State-Owned Enterprises (SOE) Minister Dony Oskaria – essentially took over the restructurings that were previously executed by the SOE Ministry before it was dissolved. The regulatory function is now performed by a new agency, BP BUMN, which is also overseen by Pak Dony.

A key official handling some of the high-profile SOE restructurings is Febriany Eddy (known as Ibu Febri), who assumed the role of Non-Financial Managing Director last year. Before joining Danantara, she had a long stretch in the private sector where she rose through the ranks at Vale to become CEO of the Brazilian mining giant’s Indonesian unit.

DAM’s counterpart, DIM, is Danantara’s investment arm led by the fund’s Chief Investment Officer Pandu Sjahrir. DIM spearheads Danantara’s fundraising activities, including the issuance of its patriot bonds and loan syndication, according to people familiar with the matter.

Two of the key DIM personnel are Djamal Attamimi, Managing Director of Finance, and Ali Setiawan, Managing Director of Treasury & Public Investment. I wrote in July 2025 that in order to finance President Prabowo Subianto’s large-scale initiatives, Danantara would likely have to syndicate its loan to a wider group of banks and build a bridge to offshore bonds.

Danantara has been exploring a potential issuance of offshore bonds for a while, but the response from investors would really depend on the timing, a buyside friend said, noting the recent negative headlines surrounding the centralization of Indonesia’s commodity exports under the fund.

In November 2025, Danantara’s treasury managing director Ali Setiawan told a press conference in Jakarta that while the fund had plans to sell global bonds, rating agencies should make their assessments first. “Our target for 2026 is to get the credit ratings because we wish to achieve the best results. Why issue if the ratings are bad?” he reportedly said.

Another Danantara official in the spotlight is Luke Thomas Mahony, a former Vale executive who was appointed last month to head a new state-owned company established to oversee Indonesia’s natural resource exports. Danantara said the selection of Mahony – an Australian national – was based on his track record in the mining sector and personal ties to Indonesia.

Companies to Watch

🔸 Dhilmar

Anglo American agreed last month to sell its steelmaking coal mines in Australia to Dhilmar for as much as USD 3.88 billion in cash, Bloomberg reported.

Dhilmar is reportedly led by Alexander Ramlie, a former investment banker who was part of the Amman Mineral Internasional consortium that bought Indonesia’s second-biggest copper and gold mine from Newmont Mining Corporation.

Ramlie has business links with Indonesian tycoon Anthoni Salim, the boss of Salim Group, according to people familiar with the matter and media reports. Another former banker whom the Indonesian conglomerate tends to work with – especially for mining deals – is Agoes Projosasmito.

🔸 Bumi Resources

In 2022, Salim Group teamed up with another conglomerate, Bakrie Group, to buy out Indonesian coal miner Bumi Resources’ creditors and safeguard its assets.

Projosasmito was appointed as President Director of Bumi’s minerals unit, Bumi Resources Minerals (BRMS), spearheading the improvement of its operations and credit standing, according to the Acrostics Anatomy on Salim Group’s Bumi Turnaround.

I also wrote in June 2025 that Bumi was resetting its balance sheet via a “quasi reorganization”, which should pave the way for it to pay dividends to shareholders and raise funding.

Bumi has recently been on an acquisition drive, scooping up assets in Australia including Wolfram and Loyal Metals. The company could potentially tap the debt markets again, although investors’ sentiment will likely be affected by the Indonesian government’s policies in the mining or commodities sector.

People to Watch

EY-Parthenon was the exclusive financial advisor to Bank SMBC Indonesia on its USD 1.1 billion pension loan divestment to state-owned lender Bank Tabungan Negara (BTN). For the EY-Parthenon team who worked on the transaction, check out this LinkedIn post.

The news caught the attention of some friends in the industry because an external advisor is typically brought in to handle the sale of non-performing loans (NPL), but this particular deal involved performing loans. The sale of the pension loan portfolio is likely part of SMBC’s internal strategy to pivot towards higher-growth areas.

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

Based on feedback from friends in the market, I developed the Radar to address four common pain points:

1. Investors, lenders and restructuring practitioners need an early warning system so they can prepare in advance. As a financial advisor put it, by the time the news hits the headlines it’s already too late to act.

2. Most readers are busy professionals who don’t have time to go through a thousand-word essay. They want a concise overview of what’s going on before they meet clients or discuss potential deals with their teams – and then they can go deeper selectively.

3. Real-life situations are not siloed into purely financial, legal or political domains, while capital doesn’t just flow into a single asset class.

4. In emerging markets, relationships are as important as – or even more crucial than – numbers. When constructing scenarios or positioning themselves, readers need to know who the players in the game are.

Acrostics Asia Radars:

• Connect the dots and help readers to anticipate what lies ahead.

• Compress information into a one-page brief that can save time for readers.

• Map the ecosystem by combining the companies and people to watch.

🛜 Singapore Radar #1 (26 May 2026)

Whether or not business is good in Singapore really depends on which sector you’re in. If you’re in private banking, family offices or wealth management, there’s no better place to be than in the city-state, as a lawyer put it.

In the restructuring and insolvency space, there are a couple of interesting cases, such as the restructuring of a Singapore-incorporated alcohol distributor and the application to wind up a fintech company.

Some liquidations are ongoing, but they tend to be smaller tickets in the F&B sector that are nowhere near the scale of Singapore oil trader Hin Leong’s collapse six years ago.

Companies to Watch

• Keppel’s subsidiary launched arbitration proceedings at the Singapore International Arbitration Centre against its joint venture partners in Vietnam.

• Singapore car portal UCars was reportedly wound up more than a year after it was revealed to be SGD 4 million (USD 3.1 million) in debt. The appointed liquidator is Seah Chee Wei of Rock Stevenson.

People to Watch

• Quantuma’s Asia Office Buyout

• Jacqueline Chan Named R&I Lawyer of the Year at Legal 500 Southeast Asia Awards

📚 Acrostics Anatomy: Kebangkrutan Sritex (29 May 2026)

One of my mentors who’s a veteran Indonesian banker advised me to translate my articles into Bahasa as they should be useful for the local audience. I’m selectively translating Acrostics Asia’s coverage, starting with the bankruptcy of Indonesian textile giant Sri Rejeki Isman (Sritex).

This Anatomy brings together the financial, legal and political insights that can help readers to understand the final chapter of Sritex’s 59-year journey. It also extracts concise lessons for investors, banks and borrowers, drawing from conversations with people who are familiar with Sritex’s restructuring.

IBC@10: Discipline of Letting Go by M.S. Sahoo and Raghav Pandey (28 May 2026)

M.S. Sahoo, Former Chairperson of Insolvency and Bankruptcy Board of India, shared his article on India’s 2016 Insolvency and Bankruptcy Code (IBC) that was jointly authored with Raghav Pandey.

“The real test of an insolvency regime is not how many firms it saves, but how quickly and accurately it determines when a rescue is viable and when an exit is better,” Sahoo and Pandey wrote in a piece that was published on Mint.

“The Code contains that logic. What remains elusive is an institutional willingness to let go: of claims, control, rights, expectations and, when necessary, the firm itself, when doing so is the only way to preserve value.”

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

China Targets Offshore Billions in Biggest Crackdown in Decades

Chinese authorities have threatened three popular brokers with at least $330 million of penalties, vowed stricter controls for banks and quietly ramped up pressure on the country’s richest people and the vehicles they use to hold overseas assets, Bloomberg reported.

The shift has ramifications for everything from Hong Kong’s stock market – buttressed by demand from mainland China – to the hordes of law firms, financial advisers and investment funds that help Chinese citizens manage their money overseas.

Sembcorp Expands Vietnam Singapore Industrial Parks Network with Four New Projects in Vietnam

Sembcorp Development, through its Vietnam Singapore Industrial Park (VSIP) joint venture with Becamex IDC, has received investment approvals to develop four new VSIPs, according to the Singapore company’s statement.

The approvals were granted during the state visit of To Lam, General Secretary of the Communist Party and President of Vietnam, to Singapore, and were witnessed alongside Lawrence Wong, Prime Minister and Minister for Finance of Singapore.

• 📒 Quick Take: Vietnam’s Green Shoots

• 💼 Brief Take: Vietnam’s Risk Zone

Software Sector Faces AI Speed Bump as Debt Matures, Says CI GAM

Software companies and their private equity investors will face mounting strains as debt redemptions swell in coming years, Bloomberg reported, citing Canadian investment manager CI Global Asset Management.

“It’s going to pressure the PE returns because enterprise valuations are going to be lower,” said Geof Marshall, who leads the firm’s fixed income team and private markets group, at a media roundtable in Sydney. “The big speed bump is AI.”

Around $386 billion of syndicated software loans will mature in 2028 and 2029 combined, compared with about $80 billion this year, according to estimates by S&P Global Market Intelligence.

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia Private Credit’s Reality Check

• 📒 Quick Take: Asia’s Mushrooming Private Credit

Indonesia Roundup

Indonesia’s Surprisingly Good GDP Has Analysts Doubting the Data

Economists are increasingly doubting Indonesia’s robust growth narrative under President Prabowo Subianto, with the skepticism spilling over into a rare public debate over the reliability of the country’s economic data, Bloomberg reported.

At a forum over the weekend in Jakarta, some of the country’s best-known economists openly questioned the credibility of the most recent data, which showed an unexpected 5.6% jump in gross domestic product, and warned it overstates the health of the economy.

The event, hosted by Alliance of Indonesian Economists, was highly unusual in Indonesia, where economists rarely hold public press briefings to dispute data.

Early last year, Acrostics Asia connected the savings rate, layoff numbers, mortgage defaults and banking ratios to infer that Indonesia’s economy was likely weaker than what the official data showed.

• Independent Asia Credit Intelligence: Indonesian Sovereign

• 👟 Walk the Talk: Indonesia’s Economic Fissures

• 📚 Acrostics Anatomy: Indonesia’s Economic Cracks

• 📚 Acrostics Anatomy: Indonesia’s Policy Disconnect

EY-Parthenon Advises Bank SMBC Indonesia on $1.1 Billion Loan Divestment to BTN

EY-Parthenon was the exclusive financial advisor to Bank SMBC Indonesia on its $1.1 billion pension loan divestment to Bank Tabungan Negara (BTN), according to the advisor’s LinkedIn post.

For BTN, the acquisition will enable the bank to expand its retail business portfolio, on top of its mortgage business.

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Beyond the downfall of a textile giant, the case also exposed deeper questions surrounding Indonesia’s restructuring framework, creditor protections, political intervention, corporate accountability, and the limits of the “going concern” narrative.

This Bahasa Indonesia compilation brings together the key financial, legal and political developments that shaped the last leg of Sritex’s journey.

Acrostics Asia menelusuri babak akhir perjalanan 59 tahun Sri Rejeki Isman (Sritex) – mulai dari runtuhnya restrukturisasi dan putusan pailit, hingga dorongan politik untuk mempertahankan kelangsungan perusahaan dan akhirnya penutupan pabriknya.

Di luar runtuhnya sebuah raksasa tekstil, kasus ini juga menyingkap pertanyaan yang lebih dalam mengenai kerangka restrukturisasi Indonesia, perlindungan kreditur, intervensi politik, akuntabilitas korporasi, serta keterbatasan narasi “going concern”.

Kompilasi ini merangkum perkembangan finansial, legal dan politik yang membentuk fase terakhir Sritex.

Daftar Isi

• Restrukturisasi Sritex Berisiko Retak (17 September 2024)

• Indonesian Restructuring Case Studies: Sritex (25 September 2024)

• Kejatuhan Sritex Berujung Kebangkrutan (25 Oktober 2024)

• Mengapa Sritex Runtuh (1 November 2024)

• Sritex dan Mitos “Going Concern” (10 Januari 2025)

• Dukungan Pemerintah Untuk Sritex Menyusut (24 Februari 2025)

• Sritex Tutup (1 Maret 2025)

Isi Lengkap

🔸 Restrukturisasi Sritex Berisiko Retak

17 September 2024

• Sritex menghadapi gugatan untuk membatalkan kesepakatan PKPU dan menyatakannya pailit.

• Kebangkrutan Arpeni Pratama Ocean Line tahun 2019 telah menaikkan tingkat kesulitan untuk restrukturisasi pasca-PKPU.

Lebih dari dua tahun setelah perusahaan tekstil Indonesia Sri Rejeki Isman (Sritex) menjahit kesepakatan restrukturisasi (PKPU), perjanjian tersebut kini berisiko berantakan.

Tanggal 2 September 2024, Indo Bharat Rayon mendaftarkan permohonan di Pengadilan Niaga Semarang terhadap Sritex dan anak usahanya, yakni Sinar Pantja Djaja, Bitratex Industries, dan Primayudha Mandirijaya.

Indo Bharat Rayon meminta pengadilan untuk membatalkan kesepakatan PKPU dan menyatakan Sritex beserta tiga anak usahanya pailit. Dasar gugatan tersebut adalah karena mereka gagal memenuhi kewajiban pembayaran sesuai homologasi PKPU pada 25 Januari 2022.

Pemohon tampaknya merupakan perusahaan yang sah, berdasarkan jejak digital yang tersedia. Pada 2015, peresmian lini produksi ketujuh Indo Bharat Rayon di Purwakarta, Jawa Barat, dihadiri oleh Presiden Direktur Mukul Agrawal dan sejumlah pejabat pemerintah Indonesia, menurut laporan kantor berita Antara.

Apakah ini akhir perjalanan bagi Sritex?

Situasinya tampak rumit karena hukum Indonesia memungkinkan seorang kreditur mengajukan kepailitan terhadap debitur jika gagal memenuhi perjanjian PKPU. Walaupun Sritex memasukkan klausul amandemen dalam kesepakatan 2022-nya – yang dirancang untuk memungkinkan restrukturisasi pasca-PKPU tanpa kembali ke pengadilan – kebangkrutan Arpeni Pratama Ocean Line telah mengubah medan.

Tahun 2019, Arpeni menggunakan opsi amandemen PKPU tersebut untuk meluncurkan restrukturisasi di Amerika Serikat dan memperoleh persetujuan kreditur yang jauh melampaui persyaratan dua pertiga berdasarkan nilai pinjaman.

Namun, Bank CIMB Niaga berhasil menggugat restrukturisasi tersebut di Mahkamah Agung Indonesia dan Arpeni akhirnya dinyatakan pailit. Meskipun pengadilan Indonesia tidak terikat pada preseden, nasib Arpeni secara efektif telah menaikkan standar persetujuan menjadi 100% karena satu kreditur yang menolak dapat menggagalkan seluruh kesepakatan.

Setelah Arpeni, perusahaan tambang batu bara Bumi Resources menjadi perusahaan besar berikutnya yang mencoba melakukan amandemen PKPU. Pada 2022, Bumi mengusulkan perpanjangan utang lima tahun kepada para krediturnya, namun ditentang sebuah bank Cina yang ingin dibayar lebih cepat dalam skema cash waterfall. Singkatnya, kesepakatan pasca-PKPU apapun berisiko digugat oleh bank tersebut.

Akhirnya, konglomerat lokal Bakrie Group dan Salim Group membereskan utang Bumi melalui transaksi ekuitas setelah beberapa kreditur meminta Bumi Resources Minerals (BRMS) sebagai jaminan. Hal ini tidak dapat diterima debitur karena BRMS sejak lama merupakan aset Bakrie Group dan juga menjadi salah satu pilar dalam ambisi Salim Group untuk memperbesar skala di sektor sumber daya alam.

Dua praktisi restrukturisasi mengatakan bahwa amandemen PKPU bukan hal yang mustahil, namun rawan untuk digugat karena tidak diatur secara eksplisit dalam hukum Indonesia. Apakah seorang debitur ingin memiliki “Pedang Damocles” yang menggantung di atas kepalanya tanpa batas waktu?

Kemungkinan lain yang sempat dibicarakan di kalangan restrukturisasi adalah perjanjian bilateral antara debitur dan seluruh pemberi pinjamannya, namun ini merupakan tugas yang berat.

Kembali ke Sritex. Perusahaan tekstil tersebut telah menghabiskan banyak amunisinya untuk meloloskan kesepakatan restrukturisasi di tahun 2022. Apakah ada “white knight” yang mau membeli utang para krediturnya? Bisakah Sritex berdamai dengan pemohon kepailitan tanpa mengganggu keseimbangan dengan kreditur lainnya?

Konteks ini penting untuk dipertimbangkan untuk memprediksi apa langkah berikutnya bagi Sritex.

🔸 Indonesian Restructuring Case Studies: Sritex

25 September 2024

• Pelajaran yang mungkin bisa diambil dari kasus Sritex.

Perusahaan tekstil Indonesia, Sri Rejeki Isman (Sritex), memasuki proses PKPU tahun 2021 setelah gagal memperpanjang pinjaman sindikasi dan menerbitkan obligasi baru untuk refinancing.

Sejumlah kreditur terkejut dengan kejatuhan perusahaan yang sebelumnya menjadi favorit pasar tersebut, namun mereka mendapat lebih banyak kejutan selama proses restrukturisasi.

Pertama, pengurus PKPU Sritex menerima tagihan setara USD 1,8 miliar, sekitar 64% lebih tinggi dibandingkan total utang yang tercatat sebesar USD 1,1 miliar pada akhir 2020. Singkatnya, utang sekitar USD 700 juta yang sebelumnya tidak diungkap dalam neraca Sritex muncul selama proses PKPU, dan sebagian besar berbentuk pinjaman pihak berelasi.

Kedua, presentasi Sritex untuk mendukung proposal restrukturisasinya membuat para investor mulai mempertanyakan keseluruhan bisnis perusahaan.

Para investor sebelumnya meyakini bahwa Sritex adalah perusahaan tekstil terintegrasi dengan margin yang stabil. Ternyata lebih dari separuh penjualan FY20 berasal dari bisnis perdagangan (trading) dan tolling, yang umumnya merupakan segmen bernilai tambah rendah. Selain itu, auditor independen juga menurunkan nilai signifikan atas persediaan dan piutang Sritex.

Sritex akhirnya meloloskan proposal restrukturisasinya meskipun sejumlah kreditur mengatakan bahwa mereka tidak diikutsertakan dalam proses pemungutan suara.

Berikut beberapa pelajaran yang mungkin bisa diambil:

1. Timing adalah segalanya. Sritex mungkin masih bisa mempertahankan “permainan kursi musik” apabila berhasil menemukan pemberi pinjaman baru, namun bank dan pemegang obligasi menjadi lebih berhati-hati setelah gagal bayar perusahaan tekstil sejenis, Duniatex.

2. Tren modal kerja perlu dicermati, apalagi jika margin dan persediaan secara konsisten berada di luar batas kewajaran.

3. Para kreditur dapat mempertimbangkan langkah ringfencing terhadap debitur, misalnya dengan membatasi perusahaan untuk tidak mengambil atau menjamin pinjaman pihak berelasi. Namun, hal ini tergantung apakah pemberi pinjaman mampu untuk memasukkan syarat tersebut.

Meski demikian, ini belum akhir dari cerita karena Sritex kini menghadapi gugatan untuk membatalkan kesepakatan PKPU dan menyatakannya pailit dengan alasan bahwa perusahaan kembali gagal memenuhi kewajibannya.

🔸 Kejatuhan Sritex Berujung Kebangkrutan

25 Oktober 2024

• Sritex dinyatakan pailit oleh pengadilan walaupun masih dapat mengajukan banding.

• Isu terkait restrukturisasi pasca-PKPU kembali mencuat.

Raksasa tekstil Indonesia, Sri Rejeki Isman (Sritex), telah dinyatakan pailit oleh pengadilan.

Hari Senin (21 Oktober 2024), Pengadilan Niaga Semarang mengeluarkan putusan pailit dengan dasar bahwa Sritex gagal memenuhi kewajibannya sesuai perjanjian PKPU yang disahkan sekitar dua tahun lalu. Pemohon yang memenangkan perkara tersebut adalah Indo Bharat Rayon, pemasok serat yang merupakan bagian dari grup India Aditya Birla.

Perselisihan hukum antara Sritex dan Indo Bharat Rayon tampaknya sudah berlangsung cukup lama.

Bulan Desember 2023, Sritex mengajukan gugatan untuk mencoret Indo Bharat Rayon dari daftar kreditur dalam perjanjian PKPU, namun ditolak oleh Pengadilan Semarang pada Februari 2024. Sekitar enam bulan kemudian, Indo Bharat Rayon meminta pengadilan yang sama untuk membatalkan homologasi PKPU Sritex, yang akhirnya dikabulkan.

Kalangan restrukturisasi lokal tidak terkejut dengan hasil ini karena tanda-tandanya sudah terlihat sejak lama. Sritex telah mengerahkan sebagian besar “amunisi” yang tersisa untuk meloloskan kesepakatan PKPU tahun 2022 dan peluang untuk restrukturisasi lagi setelah itu memang kecil. Pemberi pinjaman dan investor juga masih menghindari sektor tekstil Indonesia.

Setelah putusan pailit tersebut, Pengadilan Semarang menunjuk empat kurator dan seorang hakim pengawas untuk menangani likuidasi Sritex. Tim kurator ini dijadwalkan mengadakan rapat dengan para kreditur untuk memverifikasi tagihan mereka, meskipun seorang juru bicara pengadilan mengantisipasi bahwa Sritex akan mengajukan banding.

Kementerian Ketenagakerjaan Indonesia dilaporkan telah meminta Sritex – yang diperkirakan mempekerjakan sekitar 50.000 orang di tingkat grup – untuk menunggu hingga ada putusan berkekuatan hukum tetap dari Mahkamah Agung sebelum melakukan pemutusan hubungan kerja. Kementerian tersebut, bersama serikat pekerja, juga menuntut agar Sritex membayar tunggakan gaji dan hak-hak pekerja lainnya.

Belum jelas berapa lama proses banding akan berlangsung dan apakah pengadilan dapat dipengaruhi oleh pertimbangan politik. Namun demikian, para kreditur separatis diperkirakan akan mulai berebut aset Sritex karena khawatir hanya akan memperoleh sisa-sisa, sementara sebagian pemegang obligasi tanpa jaminan mungkin sudah menghapus nilai investasinya.

Pertanyaannya apakah masih ada nilai yang tersisa dalam proses likuidasi Sritex. Bahkan sebelum kesepakatan PKPU tahun 2022, Sritex sudah memiliki rencana untuk “transformasi” bisnis tekstilnya, yang kemungkinan mencakup reorganisasi entitas grup termasuk produsen rayon milik pribadi Rayon Utama Makmur (RUM).

Dalam beberapa kasus sebelumnya, ada debitur Indonesia yang memindahkan aset-asetnya ke “perusahaan baik” (good company), sehingga terlindung dari kewajiban yang ditinggalkan di “perusahaan buruk” (bad company). Jika Sritex mengikuti model ini, maka para kreditur akan menghadapi perjuangan berat untuk mendapat pembayaran.

Isu yang lebih besar dari kasus Sritex terkait apakah hukum Indonesia saat ini perlu diubah, mengingat seorang kreditur dapat mengajukan pailit terhadap debitur yang gagal memenuhi perjanjian PKPU.

Beberapa debitur memasukkan klausul dalam perjanjian mereka yang memungkinkan restrukturisasi ulang di luar pengadilan, namun kebangkrutan Arpeni Pratama Ocean Line tahun 2019 menunjukkan bahwa satu kreditur yang menolak dapat menggagalkan seluruh kesepakatan pasca-PKPU.

Topik ini telah menjadi perdebatan sengit di kalangan hukum. Satu kubu berpendapat bahwa hukum saat ini terlalu kaku dan beberapa debitur memang benar-benar kesulitan akibat kondisi pasar yang menantang.

Di sisi berlawanan, kubu lainnya berargumen bahwa perubahan hukum akan membuka ruang penyalahgunaan karena debitur yang bermasalah dapat terus merekayasa kesepakatan palsu dan mengorbankan kreditur.

Inti persoalannya adalah sistem hukum Indonesia masih terlalu bergantung pada siapa pihak-pihak yang terlibat: Apakah debiturnya memiliki kemauan untuk membayar? Apakah hakim akan menimbang perkara berdasarkan substansi dan mampu memahami isu komersial yang kompleks? Apakah pengacara dan kurator yang menangani perkara merupakan praktisi profesional yang akan menjalankan proses sesuai ketentuan?

Untuk saat ini, kebangkrutan Sritex menjadi pengingat bahwa kesepakatan PKPU ibarat kesempatan terakhir bagi debitur untuk memenuhi kewajibannya.

🔸 Mengapa Sritex Runtuh

1 November 2024

• Media lokal dan bos Sritex menyalahkan impor dari Cina sebagai alasan kebangkrutan perusahaan tekstil tersebut.

• Namun impor bukan satu-satunya penyebab krisis Sritex.

Media di Indonesia ramai memberitakan bahwa gelombang impor dari Cina adalah alasan runtuhnya raksasa tekstil Sri Rejeki Isman (Sritex). Salah satu judul bahkan berbunyi: “Sritex dan Malapetaka Tekstil Dunia: Semua Gara-Gara China.”

Presiden Komisaris Sritex, Iwan Setiawan Lukminto, juga berkata bahwa regulasi Kementerian Perdagangan Indonesia tahun ini merupakan “masalah klasik” yang membuka keran impor dan menggempur industri tekstil domestik.

Apakah semuanya benar-benar hancur karena impor?

Mari kita lihat urutan kejadian sejak 2020, empat tahun sebelum regulasi Kementerian Perdagangan tersebut diterbitkan. Rekonstruksi ini berdasarkan percakapan dengan kreditur Sritex dan pihak-pihak yang memahami proses restrukturisasinya.

• Pada November 2020, Sritex mengusulkan perpanjangan dua tahun atas pinjaman sindikasi USD 350 juta yang jatuh tempo Januari 2022, namun ditentang oleh sejumlah bank yang mulai mengurangi eksposur ke sektor tekstil Indonesia setelah gagal bayar Duniatex.

• Sritex kemudian mencoba menerbitkan obligasi hingga USD 325 juta di pasar internasional, namun rencana tersebut dibatalkan pada awal 2021. Beberapa investor mempertanyakan mengapa lebih dari separuh dana obligasi akan digunakan untuk membayar pinjaman modal kerja jangka pendek. Sementara investor lain meminta imbal hasil di atas 10% untuk membeli obligasi tersebut.

• Bank-bank yang memegang USD 205 juta dari pinjaman sindikasi USD 350 juta menyetujui perpanjangan dua tahun, namun para bookrunner meminta informasi tambahan mengenai fasilitas modal kerja sebelum tanda tangan.

• Sritex mengeluarkan pernyataan publik bahwa para bookrunner menunda persetujuan karena “peristiwa yang belum pernah terjadi sebelumnya”. Manajemen juga menuduh para bookrunner menempatkan mereka dalam “posisi rentan terkait keberlanjutan fasilitas sindikasi dan bilateral kami.”

• Pemegang obligasi menjadi khawatir dengan perselisihan antara Sritex dan bank – yang dipublikasikan sendiri oleh perusahaan – dan segera melakukan aksi jual. Obligasi Sritex jatuh lebih dari 30 poin pada akhir Maret 2021.

• Sritex awalnya mencoba membatasi restrukturisasi hanya pada pinjaman bank, namun pembicaraan tidak berjalan mulus. Pada 6 Mei 2021, Sritex masuk ke proses PKPU di Semarang atas permintaan kontraktor.

• Utang sekitar USD 700 juta yang sebelumnya tidak ada di buku muncul ketika kreditur mengajukan klaim mereka. Auditor independen yang ditunjuk selama proses PKPU juga menurunkan secara signifikan nilai persediaan dan piutang Sritex.

Sritex meloloskan kesepakatan PKPU yang disahkan pengadilan pada Januari 2022. Namun lebih dari dua tahun kemudian, pengadilan yang sama mengabulkan permohonan salah satu pemasok untuk membatalkan perjanjian PKPU tersebut dan menyatakan Sritex pailit.

Beberapa pihak sudah saling menyalahkan mengenai alasan kebangkrutan Sritex. Impor dari Cina mungkin berperan dalam pelemahan industri tekstil domestik, tetapi itu bukan satu-satunya penyebab krisis Sritex.

🔸 Sritex dan Mitos “Going Concern”

10 Januari 2025

• Pekerja Sritex membatalkan rencana protes setelah pejabat pemerintah menjanjikan bahwa bisnis tekstil dapat terus berjalan.

• Meskipun kurator memiliki opsi mempertahankan Sritex sebagai going concern, permasalahan yang dihadapi perusahaan beragam.

Sri Rejeki Isman (Sritex) memasuki tahun baru dalam kondisi seperti zombie, terpuruk antara hidup dan mati sambil ditopang mitos bahwa perusahaan masih bisa terus berjalan.

Perusahaan yang dikendalikan keluarga Lukminto tersebut telah menjadi simbol keruntuhan industri manufaktur tekstil padat karya di Indonesia, sekaligus menciptakan sakit kepala bagi pemerintahan baru.

Sritex – yang dilaporkan mempekerjakan sekitar 50.000 orang di tingkat grup – berkontribusi terhadap ekonomi lokal dan sejak lama menjadi mata rantai penting dalam industri tekstil.

Sekitar 10.000 pekerja dilaporkan berencana menggelar aksi protes di Jakarta minggu depan, menuntut pemerintah menepati janji untuk melindungi mereka setelah Mahkamah Agung menguatkan putusan pailit Sritex.

Namun, para pekerja tersebut membatalkan rencana aksi setelah Wakil Menteri Ketenagakerjaan Immanuel Ebenezer Gerungan mengunjungi pabrik Sritex di Sukoharjo, Jawa Tengah, dan meminta mereka menyerahkan persoalan ini ke pemerintah.

Dalam pidatonya kepada para pekerja, Wakil Menteri mengatakan bahwa negara dapat memaksa kurator untuk memastikan kelangsungan usaha Sritex. Ia juga menuduh tim empat kurator tersebut “tidak bertanggung jawab” karena tidak menghadiri pertemuan dengan manajemen Sritex yang rencananya dimediasi oleh Kementerian Ketenagakerjaan.

Retorika ini patut dipertanyakan karena beberapa alasan.

Pertama, berdasarkan hukum Indonesia, kewenangan untuk menangani aset Sritex setelah putusan pailit telah beralih dari manajemen kepada kurator, yang bertugas melikuidasi aset tersebut dan mendistribusikan nilainya secara proporsional kepada para kreditur.

Kedua, para kurator bukanlah pihak yang menyebabkan masalah Sritex, karena manajemen selama bertahun-tahun telah menumpuk utang sekitar IDR 32,63 triliun (USD 2 miliar) yang tidak mampu dibayar kembali.

Ketiga, laporan keuangan Sritex menunjukkan bahwa perusahaan selama ini menjual barang di bawah beban pokoknya – sehingga menghasilkan kerugian – sementara arus kas dari aktivitas operasi negatif karena penerimaan kas dari pelanggan menurun dan pembayaran kepada pemasok tetap tinggi. Ringkasnya, bisnis Sritex tidak bisa dipertahankan dalam kondisi ini.

Keempat, tampaknya ada kesalahpahaman bahwa jalur going concern adalah obat mujarab yang dapat menyembuhkan Sritex dari kepailitan seolah-olah perusahaan tidak pernah sakit sejak awal. Memang, Undang-Undang Kepailitan Indonesia memberikan opsi kepada kurator untuk melanjutkan operasional bisnis, namun dalam praktiknya hal ini hanya dapat dilakukan dalam kondisi tertentu.

Dalam tulisan opini yang diterbitkan Kontan, Irvin S. T. Sihombing, anggota Asosiasi Kurator dan Pengurus Indonesia (AKPI), memberi contoh pemilik apartemen dan hotel Star Prima yang dinyatakan pailit di tahun 2021.

Kurator Star Prima memutuskan mengelola aset tersebut sampai mendapatkan pembeli, berdasarkan pertimbangan bahwa harga jual bisa tambah jatuh kalau dibiarkan tidak beroperasi dan pasokan listriknya diputus.

Di kasus Sritex, Irvin menulis bahwa kuratornya akan menghadapi tantangan tersendiri jika mereka mengambil keputusan going concern. Memang benar, walaupun saya menghormati profesi hukum, apakah masuk akal untuk berharap bahwa kurator bisa tiba-tiba tahu bagaimana cara mengoperasikan pabrik tekstil?

Kalau tidak ada investor atau peminjam baru yang bersedia memberi dana segar, Sritex pasti akan terbelit beragam masalahnya yang bersifat finansial, legal dan politik. Berpura-pura bahwa masalah-masalah ini tidak ada dan bisnis dapat terus berjalan seperti biasa bukanlah solusi.

🔸 Dukungan Pemerintah Untuk Sritex Menyusut

24 Februari 2025

• Upaya pemerintah Indonesia menyelamatkan perusahaan tekstil Sritex tampaknya mulai kehilangan momentum.

• Sempat ada rencana untuk mengambil alih Sritex, namun pemegang saham pengendali menolak potensi dilusi kepemilikan.

Pemerintah Indonesia awalnya membela Sri Rejeki Isman (Sritex) dengan cukup kuat, namun upaya untuk menyelamatkan perusahaan tekstil tersebut tampaknya mulai kempes.

Sritex – yang kini menjadi simbol krisis industri tekstil Indonesia – dipailitkan oleh salah satu pemasoknya tahun lalu. Kurator yang ditunjuk pengadilan seharusnya sudah mulai melikuidasi aset perusahaan untuk membagikan hasilnya kepada para kreditur. Namun, Sritex dipertahankan tetap hidup secara artifisial karena pemerintah khawatir terhadap nasib para pekerjanya.

Berikut rangkuman poin-poin utama dari podcast media investigasi Tempo yang mengungkap seberapa jauh intervensi pemerintah di kasus ini:

• Sritex yang dikendalikan keluarga Lukminto meminta bantuan pemerintah, khususnya untuk menekan para kurator agar memastikan kelangsungan operasional perusahaan.

• Keluarga Lukminto memiliki hubungan panjang dengan mantan Presiden Joko Widodo, termasuk mendukung pemilihannya dan kenaikan putra sulungnya, Gibran Rakabuming Raka, menjadi Wakil Presiden, menurut laporan Tempo yang mengutip sumber dari tim kampanye. Kekuatan kedua keluarga tersebut juga bertumpu di Jawa Tengah.

• Setelah Sritex dinyatakan pailit pada Oktober 2024, Tempo memberitakan bahwa Brigadir Jenderal Helfi Assegaf dari Direktorat Tindak Pidana Ekonomi Khusus Bareskrim Polri bertemu dengan para kurator dan meminta mereka mempertahankan perusahaan sebagai going concern. Polisi juga memanggil sejumlah bank untuk membantu penyelidikan atas pembiayaan Sritex, termasuk proses pengajuan dan penggunaan fasilitas pinjaman.

• Presiden Prabowo Subianto menyerahkan urusan Sritex kepada Wakil Presiden Gibran, yang kemudian menunjuk Wakil Menteri Ketenagakerjaan Immanuel Ebenezer Gerungan untuk turun tangan. Namun, pemerintah mulai “setengah hati” setelah menyadari kerumitan penyelamatan Sritex, menurut Tempo.

• Awalnya, ada rencana meminta taipan batu bara di Kalimantan untuk mengambil alih Sritex, namun ia menolak pendekatan tersebut, Tempo mengutip seorang bankir dan anggota kabinet. Diskusi kemudian beralih ke penugasan BUMN untuk mengambil alih Sritex, tetapi ini juga sulit karena BUMN tidak memiliki keahlian di sektor tekstil.

• Selama pandemi, sebenarnya ada investor asing yang tertarik mengakuisisi Sritex, namun keluarga Lukminto tidak bersedia melepas kepemilikan saham pada saat itu, Tempo mengutip seorang bankir. Setelah kondisi Sritex memburuk seperti sekarang, kemungkinan besar tidak ada lagi pembeli yang berminat.

Berikut pandangan saya:

• Keterlibatan kepolisian Indonesia dalam restrukturisasi perusahaan tekstil bukan hal baru. Tahun 2019, polisi memanggil para pemberi pinjaman Duniatex dan meminta mereka mendukung perusahaan tersebut dengan alasan besarnya jumlah tenaga kerja. Para kreditur Sritex juga pernah diminta menyetujui restrukturisasi PKPU tahun 2021.

• Senada dengan laporan Tempo, dua sumber saya pernah mengatakan bahwa memang ada pembicaraan mengenai pengambilalihan Sritex yang dapat mengurangi kepemilikan pemegang saham pengendali menjadi minoritas. Keluarga pendiri menolak keras potensi dilusi tersebut, namun mereka mulai kehabisan daya tawar, kata salah satu sumber.

• Intervensi politik dalam kasus komersial yang telah melalui proses pengadilan Indonesia merupakan tren yang mengkhawatirkan dan dapat semakin melemahkan kepercayaan investor. Kepercayaan terhadap kekuatan hukum sangat penting bagi investasi jangka panjang di Indonesia.

🔸 Sritex Tutup

1 Maret 2025

• Sritex menutup pabrik hari ini, mengakhiri sejarahnya sebagai produsen tekstil yang dikenal luas.

• Babak terakhir perjalanan Sritex ditandai oleh kegagalan akuntabilitas.

Sri Rejeki Isman (Sritex) menutup pabriknya hari ini (1 Maret 2025), mengakhiri sejarahnya sebagai perusahaan tekstil ternama.

Sritex dan tiga anak usahanya yang pailit diberitakan mem-PHK hampir 11.000 pekerja secara total. Seperti yang saya tulis sebelumnya, jumlah pekerja Sritex tidak sebanyak angka 50.000 yang digaungkan manajemen dan pejabat pemerintah. Namun, pekerja yang di-PHK tersebut adalah orang-orang nyata yang memikul dampak dari kegagalan Sritex.

Sritex didirikan di tahun 1966 oleh almarhum Haji Muhammad Lukminto, yang membesarkannya dari bisnis dagang kecil menjadi sebuah raksasa tekstil dengan jaringan yang mendunia. Tapi di beberapa tahun terakhir, babak Sritex di bawah kepemimpinan putra mahkota Iwan Setiawan Lukminto ditandai pertumbuhan yang digenjot oleh utang, disusul keambrukan yang dipicu oleh kegagalan Duniatex.

Modal kerja Sritex ditarik dan perpanjangan utang sindikasinya juga batal setelah beberapa bank mundur dari sektor tekstil. Namun, Sritex mencapai titik di mana tidak ada jalan kembali saat perusahaan tersebut mengeluarkan rilis yang menyalahkan para bookrunners, sehingga obligasinya jatuh dan aksesnya ke pasar modal tertutup.

Sritex melewati proses penundaan kewajiban pembayaran utang (PKPU) di tahun 2022, walaupun kreditur menuduh perusahaan telah menggunakan berbagai siasat untuk mendapatkan persetujuan. Tapi sekitar dua tahun kemudian, salah satu pemasok mempailitkan Sritex karena perusahaan tersebut gagal bayar sesuai dengan perjanjian PKPU. Kasasi Sritex juga ditolak oleh Mahkamah Agung.

Manajemen Sritex menyalahkan banyak hal, dari impor Cina dan lemahnya permintaan konsumen, sampai perang dagang dan ketegangan geopolitik. Media lokal maupun internasional juga menyuarakan narasi tersebut.

Berbagai pejabat menekan kurator agar melangsungkan usaha Sritex, walaupun semua bukti menunjukkan bahwa perusahaan tidak sanggup bayar utang. Dalam video yang tersebar, Wakil Menteri Ketenagakerjaan Immanuel Ebenezer Gerungan bahkan menjanjikan pada pekerja Sritex di akhir tahun lalu bahwa tidak akan ada PHK.

Namun, niat pemerintah mulai gembos setelah sadar bahwa penyelamatan Sritex hampir tidak mungkin kalau tidak ada bailout dari negara.

Kemudian sejumlah kreditur memberi batas waktu 21 hari untuk kurator dan debitur merundingkan langkah ke depan. Tanggal 28 Februari 2025, para kreditur memutuskan tidak melangsungkan usaha Sritex, sehingga perusahaan sampailah di jalan buntu.

Apa yang akan terjadi sekarang?

PHK massal Sritex akan menambah angka pengangguran yang sedang naik di Indonesia, di mana industri pengolahan dan startup semakin melemah.

Sekarangpun pejabat pemerintah sudah mulai melempar bola panas. Ketika ditanya tentang Sritex, Menteri Koordinator Bidang Perekonomian Airlangga Hartarto berkata pada wartawan bahwa Menteri Ketenagakerjaan Yassierli yang akan mengecek ke tim kurator.

Kurator akan mulai membereskan harta Sritex, tapi hasil likuidasi tidak akan cukup untuk membayar utang Sritex yang bernilai sekitar USD 2 miliar.

Saya sebelumnya menulis bahwa salah satu opsi untuk kreditur swasta Sritex adalah menelusuri apakah uang mereka dipakai untuk tujuan yang sudah disepakati atau untuk hal yang lain, tapi belum tentu kreditur mau untuk mengeluarkan lebih banyak biaya untuk mendanai investigasi tersebut.

Litigation funding oleh pihak ketiga juga masih berkembang di yurisdiksi Asia dan pemain di sektor ini kemungkinan enggan mengambil kasus ini karena imbal hasilnya terbatas.

Sejarah panjang Sritex dan kontribusinya ke ekonomi lokal tidak bisa dipungkiri, namun bagian terakhir perjalanannya ditandai dengan kegagalan akuntabilitas.

Full Acrostics Asia Coverage

• 📚 Acrostics Anatomy: Sritex’s Bankruptcy Spiral (30 August - 4 November 2024)

• 📚 Acrostics Anatomy: Sritex’s Desperate Cling (20 December 2024 - 7 February 2025)

• 📚 Acrostics Anatomy: Sritex’s Broken String (24 February - 13 May 2025)

• 📚 Acrostics Anatomy: Sritex’s Scavenger Hunt (24 May - 9 July 2025)

Acrostics Asia adalah penyedia intelijen independen yang menghubungkan berbagai titik dalam lanskap sovereigns, private credit, dan restrukturisasi.

Asia Roundup

Guangzhou State Firm to Buy Secondhand Homes to Support Property Market

Guangzhou has unveiled a plan for a state-owned housing company to buy secondhand homes directly from individual owners, extending government support for China’s struggling property market into the resale segment, Caixin reported.

The program marks a shift from earlier measures adopted in many Chinese cities, where state-owned companies primarily purchased unsold new homes from developers. Guangzhou’s initiative will test whether public capital can help revive transactions in aging urban housing stock.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

• 💼 Brief Take: Two Sides of Hong Kong’s Property Coin

• 👣 Asia’s Restructuring Milestones: China’s Bankruptcy Law

IMF Approves $695 Million Program Funding for Sri Lanka

The International ​Monetary Fund said on Wednesday that it approved ‌about $695 million in funding to Sri Lanka under a $2.9 billion program, Reuters reported.

The funds will increase Sri Lanka’s foreign currency reserves, ​which dipped 3.8% to $6.7 billion at the ​end of April from the prior month as ⁠the island nation grapples with soaring energy prices ​as a result of the US-Israel war ​on Iran.

• ☀️ Bright Spot #16: Sri Lanka’s Recovery

• 👟 Walk the Talk: SriLankan Airlines

• 📚 Acrostics Anatomy: SriLankan Airlines’ Bond Truce

Mongolia’s Bogd Bank Issues $75 Million Bond

Mongolia’s Bogd Bank has issued a $75 million bond with a three-year tenor and a fixed annual coupon rate of 9.50%, according to its LinkedIn post. The bond was listed on the Vienna Stock Exchange in Austria.

The bond proceeds will be used to support Bogd Bank’s core business expansion, particularly increasing financing to small and medium-sized enterprises (SMEs), as well as supporting the growing needs of the export, trade, manufacturing and private sectors, according to the bank.

• ☀️ Bright Spot #19: Asia Bond Wave

• ☀️ Bright Spot #18: Asia’s Frontier Bonds

• 📒 Quick Take: Asian Credit’s Shifting Currents

Singapore Hands Byju’s Founder His First Ever Jail Term

The founder of failed Indian technology firm Byju’s was sentenced to six months in jail by a Singapore court for contempt, Bloomberg reported, citing people familiar with the matter.

Byju Raveendran was ordered to serve jail time after the court said he had disobeyed multiple orders related to his assets dating back to April 2024. It’s the first time a judge has threatened to imprison the once high-flying entrepreneur, who founded one of India’s highest-profile tech startups before a post-Covid slump pummeled the business.

Indonesia Roundup

War Stress Pushes Indonesia, Thailand to Lean on Short-Term Debt

Southeast Asia’s two biggest economies are selling more short-term debt to cope with the stress from the US-Iran war, draining liquidity from broader markets, Bloomberg reported.

Indonesia’s central bank has stepped up issuance of rupiah bills to attract foreign inflows to support the rupiah, which has hit record lows and become Asia’s worst-performing currency this quarter. In Thailand, the government is leaning more on short-term notes as it pushes ahead with a controversial emergency borrowing plan.

• 🛜 Indonesia Radar #1

• 👟 Walk the Talk: Indonesian Outflows

Wilmar Shares Tumble 10.5% in Early Trade Amid Indonesia Probe

Shares of Wilmar International fell as much as 10.5% in early trading, The Business Times reported. The company is among 10 crude palm oil (CPO) exporters under investigation for suspected under-invoicing and transfer-pricing practices.

Indonesia’s Finance Minister Purbaya Yudhi Sadewa said that the companies shipped or sold CPO to trading firms in Singapore, which then resold the cargo to the US after price mark-ups of as much as 50%, raising concerns that a portion of export value may have been moved offshore.

• ⏳🎞️ Wilmar’s Indonesian Troubles

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

• 📒 Quick Take: Indonesia’s “New Order” Resurgence

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Sri Lanka Surprises With Big Rate Hike as Emerging Markets Defend Currencies

Sri Lanka is the latest emerging market to tighten monetary policy aggressively as an oil crisis triggered by the Iran war pushes currencies to record lows and threatens economic stability, Bloomberg reported.

The Central Bank of Sri Lanka raised its overnight policy rate by a full percentage point – its first monetary tightening in three years – to 8.75% on Tuesday. Bank Indonesia also unexpectedly delivered a half-point increase to its key rate last week.

Tata Sons Board Meeting Concludes After Five Hours, No Decision Announced

The Tata Sons board met at Bombay House, the Tata Group’s headquarters in Mumbai, on Tuesday for over five hours, Outlook Business reported. No formal decision was announced at the conclusion of the much-anticipated meeting.

The meeting was called to review the long-term direction of key group companies and discuss turnaround and consolidation strategies for several unlisted and loss-making businesses. The board was expected to seek greater clarity on reducing losses, improving returns and outlining a roadmap to profitability for these units.

• 💼 Brief Take: SP Group’s Tata Timer

• 💼 Brief Take: SP Group’s Chess Piece

• 💼 Brief Take: Keeping the SP Dream Alive

VinFast Names Founder’s Son Chairman Amid Losses, US Setbacks

VinFast Auto appointed the son of billionaire founder Pham Nhat Vuong as chairman while the Vietnamese electric vehicle maker faces mounting losses and setbacks in the US, Bloomberg reported.

Its board of directors named Pham Nhat Quan Anh to replace Le Thi Thu Thuy, who will continue as vice chairwoman at parent company Vingroup to focus on the larger group’s business, according to a company statement.

Indonesia Roundup

Indonesia Probes Musim Mas, Wilmar for ‘Under-Invoicing’ of Exports

Indonesia's finance minister said that Wilmar International and Musim Mas Group are among ​the palm oil companies now being probed for suspected “under-invoicing” ‌of exports, Reuters reported.

Under-invoicing involves the invoicing of goods below their ​market price, often to hide profits and avoid ​taxes.

• ⏳🎞️ Wilmar’s Indonesian Troubles

• 🛜 Indonesia Radar #1

• 📒 Quick Take: Indonesian State Capitalism

Danareksa Spins Off Industrial Zone Business

Indonesian sovereign fund Danantara has decided to spin off state-owned company Danareksa’s industrial zone business, IDN Times reported.

A new state-owned holding company called Kawasan Industri Indonesia has been formed to oversee the industrial zones.

• 👟 Walk the Talk: Danantara’s War Chest

• 📚 Acrostics Anatomy: Indonesian SOE State of Play

• 📒 Quick Take: Indonesia’s SOE Supremo

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Whether or not business is good in Singapore really depends on which sector you’re in.

If you’re in private banking, family offices or wealth management, there’s no better place to be than in Singapore, as a lawyer friend put it.

The economy expanded 5% last year on the back of foreign direct investment and safe haven capital inflows. Singapore’s 6% growth in the first quarter of 2026 also beat expectations, though officials flagged downside risks amid the Middle East conflict.

International asset managers including Sixth Street Partners, Global Infrastructure Partners, Pentagreen Capital and IFM Investors have been building their private credit teams in the city-state, Bloomberg reported.

Singapore’s all-out efforts to boost its equities are also starting to pay off, as the total value of companies listed on the Singapore Exchange reportedly climbed to around USD 644 billion, overtaking Indonesia as Southeast Asia’s largest stock market.

In the restructuring and insolvency (R&I) space, there are a couple of interesting cases, such as the restructuring of a Singapore-incorporated alcohol distributor as well as the application to wind up a fintech company. Cinema chain Cathay Cineplexes – which was run by Singapore-listed mm2 Asia – also ceased its operations last year.

Some liquidations are ongoing, but they tend to be smaller tickets in the F&B sector that are nowhere near the scale of Singapore oil trader Hin Leong’s collapse six years ago, according to several R&I practitioners.

Companies to Watch

🔸 Keppel

Keppel announced on 27 April 2026 that its subsidiary, Corredance, had launched arbitration proceedings at the Singapore International Arbitration Centre against its joint venture partners in Vietnam.

The Singapore company is seeking declarations that three entities related to their 2016 investment agreement are fully liable for additional land use fees of around USD 261 million that were imposed by the authorities on the project company, Empire City, according to Keppel’s stock exchange filing.

Keppel’s Corredance has a 40% equity interest in the project company, which was established to build and operate residential and mixed-use developments on certain land plots in Ho Chi Minh City.

• The Land Bill Shock: What Keppel’s Empire City Arbitration Means for Investors in Vietnam Real Estate by Vilasia Law Firm

• 💼 Brief Take: Vietnam’s Risk Zone

🔸 UCars

Singapore car portal UCars was wound up more than a year after it was revealed to be SGD 4 million (USD 3.1 million) in debt, The Business Times reported. The appointed liquidator is Seah Chee Wei of Rock Stevenson.

• 📚 Acrostics Anatomy: Singapore Squeeze

• 💼 Brief Take: Singapore’s Missing Cars

• 💼 Brief Take: Singapore’s Rental Car Wreck

People to Watch

🔸 Quantuma’s Asia Office Buyout

Quantuma offices in Asia (Singapore, Hong Kong, Malaysia and Vietnam) and the Caribbean (BVI) were the subject of a management buyout, led by the senior leadership team in its Singapore office, according to the advisory firm’s LinkedIn post.

🔸 Jacqueline Chan Named R&I Lawyer of the Year at Legal 500 Southeast Asia Awards

Milbank Partner Jacqueline Chan was named Restructuring and Insolvency Lawyer of the Year at the Legal 500 Southeast Asia Awards 2026.

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

Singapore Seeks to Cut Account Opening Time for the Rich to a Month

Singapore’s financial regulator is working with private banks to shorten account opening time using a “risk-appropriate” approach, as the city-state rises in importance as a wealth management hub, Bloomberg reported.

The Monetary Authority of Singapore wants to cut the duration to within one month, from a current median of about six weeks or longer in complex cases, Managing Director Chia Der Jiun said at the UBS Asian Investment Conference in Singapore.

The move is to ensure banks avoid unnecessary and excessive checks on clients’ sources of wealth while also upholding high standards.

• ☀️ Bright Spot #15: Singapore’s “Exceptional” Growth

Vedanta Resources Looks to Rejig $5.5 Billion Holdco Debt in One Go

Vedanta Resources Ltd (VRL) has initiated talks with global banks on refinancing the holding company’s debt of $5.25-5.5 billion through a mix of bonds and loans, The Economic Times reported, citing people aware of the matter. The Indian group is seeking to better align repayments with dividend inflows from operating companies.

VRL is looking to raise $3.5-3.7 billion through 10-year bonds and another $1.5-1.7 billion via loans with a five-year maturity, according to ET. In recent weeks, VRL’s management has held discussions with at least eight global lenders.

• 💼 Brief Take: India’s Battle-Hardened Billionaires

• 📚 Acrostics Anatomy: Vedanta’s Lucky Streak

SoftBank Taps Retail Market Again With $1.6 Billion Yen Bond

SoftBank Group plans to raise ¥260 billion ($1.6 billion) through another sale of subordinated bonds aimed mainly at individual investors, about two months after a similar retail offering, Bloomberg reported.

The bonds mature in 35 years with an issuer call option after five years, according to documents disclosed by the company. The pricing is scheduled for 5 June, with the initial five-year coupon guided at 4.8-5.6%.

SoftBank’s swift return to the retail bond market comes amid its growing funding needs for artificial intelligence-related investments. The company downsized plans for a $10 billion margin loan backed by its OpenAI stake.

• ☀️ Bright Spot #19: Asia Bond Wave

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

Indonesia Roundup

Indonesia’s New Trade Regime and Rate Hike Deliver Double Blow to Markets

Indonesia’s decision to centralize exports of key natural resource commodities under a new state-controlled entity, combined with Bank Indonesia’s surprise 50-basis-point benchmark interest-rate increase, is being viewed by business groups as a double blow to investors, companies and consumers, Jakarta Globe reported.

“Single-gate exports for natural resources are a highly counterproductive policy and could trigger negative sentiment among investors and markets, especially when public trust in the government is already declining,” said Jahja Soenarjo, chairman and chief executive of Business Forum Indonesia.

Jahja said he understood the government’s intention to secure export earnings, but warned that the policy should not come at the expense of businesses and private-sector confidence.

Acrostics Asia wrote on 23 May 2026:

🛜 Indonesia Radar #1

The president’s attempt to rein in transfer pricing – which has long been a form of capital leakage out of Indonesia – and keep dollars onshore is not illogical. But as with many of his earlier initiatives, the ambition and time horizon are misaligned with the practical reality, according to a Jakarta-based financier.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 👟 Walk the Talk: Indonesian Outflows

Indonesia to Revise State Budget Law But Deficit Ceiling Not the Focus

Indonesia’s parliament will soon start deliberating on a revision to state finance laws, but the focus will not be on changing rules on fiscal ​deficit limits, Reuters reported, citing a senior lawmaker.

Mukhamad Misbakhun, head of the parliamentary financial ​commission, said lawmakers would soon begin to draft a bill that will revise several existing financial laws at once – known as an omnibus bill – to align those with the establishment of ​new sovereign wealth fund Danantara.

The main point of the revision would be to ‌shift ⁠the appointed stakeholder of state investments in these laws from the finance minister to Danantara. That would include giving the dividends of state companies to Danantara and removing those as a source ​of income for the ​state budget.

• 📒 Quick Take: Indonesia’s Rating Leak

• 📒 Quick Take: Jakarta’s Third Rail

• 👟 Walk the Talk: Danantara’s War Chest

• 📚 Acrostics Anatomy: Indonesian SOE State of Play

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Dear Valued Contacts,

I love getting feedback on how to make Acrostics Asia better – and I try to act on it sooner rather than later!

Based on the feedback from some friends in Jakarta last week, I’ve developed Indonesia Radar, a concise brief on what to watch in Indonesia. Stay tuned as the Radar will rotate across different countries over the coming weeks.

🛜 Indonesia Radar #1 (23 May 2026)

Jakarta’s financial circle was stumped by President Prabowo Subianto’s move to centralize exports of key commodities under Danantara. The former general’s attempt to rein in transfer pricing – which has long been a form of capital leakage out of Indonesia – and keep dollars onshore is not illogical. But as with many of his earlier initiatives, the ambition and time horizon are misaligned with the practical reality, according to a Jakarta-based financier.

Companies to Watch

• Garuda Indonesia: The flag carrier has been exploring options as it’s pummelled by the spike in fuel costs. A key area of consideration is the negative optics associated with pursuing a fourth restructuring so soon after Danantara injected USD 1.4 billion into the airline. However, the clock is ticking as its liquidity is shrinking rapidly.

• Whoosh: The China-backed Jakarta-Bandung high-speed rail is another state project with ballooning costs and uncertain recovery. It’s possible for Indonesia to offer the Jakarta-Surabaya rail line to China in return for some form of forbearance on Whoosh, though whether or not it can make money is still a question mark.

• Modernland Realty: Even after its second restructuring, the Indonesian property developer is reliant on asset sales to jump over a maturity wall in 2027. While the sale is ongoing, Modernland has to service an expensive bridge loan from Bank JTrust Indonesia and ADM Capital’s Eight Rubies.

• Indika Energy: The energy company continues diversifying away from coal by setting up an electricity distribution unit. It also issued USD 100 million 8.75% notes due 2029 to fund the development of its gold mining project in South Sulawesi.

People to Watch

There’s a merry-go-round going on in Indonesia’s restructuring and insolvency scene, as some firms that were hit by departures have to poach from other firms to replenish their ranks.

💼 Brief Take: SP Group’s Tata Timer (20 May 2026)

I previously wrote that Shapoorji Pallonji Group (SP Group)’s refinancing machinery involves lining up investors who are willing to extend the bridge towards a potential liquidity event. Prospective lenders are not leaving everything to chance, as they have set the clock ticking for the Indian conglomerate to extract some cash from its stake in Tata Sons.

💼 Brief Take: Adani’s Refinancing Return (20 May 2026)

Another Indian conglomerate, Adani Group, is jumping back into the refinancing pool as it’s reportedly preparing to refinance nearly USD 5.25 billion of debt obligations. Adani’s US settlement may help to reduce perceived compliance risks and expand the base of potential lenders, though some banks may choose to wait and see first before making a commitment.

DHC Capital’s Takeaways on Australia Private Credit (20 May 2026)

DHC Capital’s David Chew shared some takeaways from a panel discussion on private credit at the 2026 ARITA NSW Young Professionals Conference held in Sydney on 30 April 2026.

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

What a week – that was the sentiment in Jakarta as President Prabowo Subianto moved to centralize exports of key commodities under Danantara.

Even the rank and file at Danantara were stumped by the former general’s fiery speech and wondered how the sovereign fund was going to implement his plan, according to a friend familiar with the matter.

The president’s attempt to rein in transfer pricing – which has long been a form of capital leakage out of Indonesia – and keep dollars onshore is not illogical. But as with many of his earlier initiatives, the ambition and time horizon are misaligned with the practical reality, according to a Jakarta-based financier.

Indonesia’s stock market slumped 3.5% while the rupiah continued weakening to around 17,700 per dollar following the announcement.

I wrote in April last year that capital had flowed out of the country partly due to fears of being caught on the wrong side of the power consolidation after the president took office. Some tycoons were unsure if there was a grand design to this operation, making it difficult to plan around it, a friend close to the tycoons said at the time.

Wealthy Indonesians already accumulated significant assets or investments in neighbouring Singapore, so they have been diversifying to offshore destinations such as the Middle East, the UK, mainland China and Hong Kong, according to bankers familiar with the matter.

While Indonesian tycoons are hedging their exposure for safety reasons, they are unlikely to completely abandon business in Indonesia as some of them have built up scale that’s hard to replicate elsewhere.

Companies to Watch

🔸 Garuda Indonesia

Garuda Indonesia has been exploring options as it’s pummelled by the spike in fuel costs, according to several friends familiar with the matter. While the national carrier cannot just look at the fundraising route this time, a post-PKPU restructuring will likely be challenging – as I’ve flagged throughout the past year.

A key area of consideration is the negative optics associated with pursuing a fourth restructuring so soon after Danantara injected USD 1.4 billion into the airline. However, the clock is ticking for Garuda as its liquidity is shrinking rapidly.

🔸 Whoosh

The China-backed Jakarta-Bandung high-speed rail known as Whoosh is another state project with ballooning costs and uncertain recovery. I wrote on 14 April 2025 that state-owned builder Wijaya Karya was headed for a restructuring redux due to the infrastructure budget cuts and cost over-runs at Whoosh.

I also noted on 11 October 2025 that the Indonesian SOE method of rolling over loans or converting debt into equity may not work with the Chinese. It’s possible for Indonesia to offer the Jakarta-Surabaya rail line to China in return for some form of forbearance on Whoosh, though whether or not it can make money is still a question mark.

🔸 Modernland Realty

I wrote on 16 December 2024 that even if Modernland Realty could pull off its second round of restructuring, the Indonesian property developer was reliant on asset sales to jump over a maturity wall in 2027.

Quantuma was appointed to procure asset sales after Modernland’s restructuring was implemented in March 2025 via a Singapore scheme of arrangement, according to the advisory firm’s press release. While the sale process is ongoing, the developer has to service an expensive bridge loan from Bank JTrust Indonesia and ADM Capital’s Eight Rubies.

🔸 Indika Energy

The energy company continues diversifying away from coal by setting up an electricity distribution unit, Electra Jaringan Indonesia (EJI). The new subsidiary’s business activities will include retail sales of electricity to end consumers, according to its stock exchange filing.

Indika also issued USD 100 million 8.75% notes due 2029 to fund the development of its gold mining project in South Sulawesi. The company has a track record as a repeat issuer in the international bond market, so it’s not surprising that it was able to complete the latest deal.

People to Watch

There’s a merry-go-round going on in Indonesia’s restructuring and insolvency scene, as some firms that were hit by departures have to poach from other firms to replenish their ranks.

The trend is driven by a mix of reasons: a couple of individuals are embarking on their ventures while others are trying out a different firm or sector. The domino effect is still playing out and it’s unclear who’ll be the net gainer/loser when the dust settles.

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

Global Buyout Funds to Exit China’s Data Centres with Final $1 Billion Deal

Foreign private equity firms are cashing out of China’s data centre sector after years of betting billions on the country’s cloud computing boom, as political and regulatory pressures make overseas ownership of digital infrastructure increasingly difficult, The Financial Times reported.

Princeton Digital Group, which is backed by Warburg Pincus, is launching a sale of its China assets that could fetch as much as $1 billion, adding to a string of exits by global funds including Bain Capital and Carlyle.

• ☀️ Bright Spot #19: Mega Deals

Capital Group Builds $2 Billion Adani Bet in Pivot From Reliance

Capital Group, one of the world’s largest investment management firms, has been increasing its exposure to Adani Group companies while steadily paring holdings in Reliance Industries, marking a shift in foreign investor preference between India’s biggest conglomerates, Bloomberg reported.

The Los Angeles-based money manager has acquired stakes worth more than $2 billion across three Adani Group companies in recent weeks.

Adani companies are increasingly viewed as rare leveraged plays on India’s infrastructure development, energy transition and manufacturing push. That shift is also emblematic of a broader transition toward bets on the next phase of India’s economic expansion.

• 💼 Brief Take: Adani’s Refinancing Return

• 💼 Brief Take: Adani’s US Break

• 💼 Brief Take: India’s Battle-Hardened Billionaires

Simba’s Parent Company Terminates Deal to Acquire Singapore’s M1

Simba’s owner, Australia’s Tuas, announced that the deal to acquire Singapore telco M1 has been terminated, CNA reported.

In a statement posted on the Australian Securities Exchange, Tuas said that it and Keppel – M1’s parent company – would be released and discharged from their respective obligations if certain conditions under the terms of the sales and purchase agreement were not fulfilled or waived before the long stop date.

Tuas also said that Simba continues to cooperate with the Infocomm Media Development Authority’s investigation into whether it had been using radio frequency bands that were not assigned to it to provide mobile services.

Indonesia Roundup

Indonesia to ‘Listen to Market’ on New Commodity Export Body

Indonesia is “listening very closely to the market” as it builds a body to oversee key commodity exports, Bloomberg reported, citing Pandu Sjahrir, chief investment officer of sovereign wealth fund Danantara.

Asked about perplexity in the market, Sjahrir said investors were trying to absorb the news. Details would be provided over “the next few weeks”, he added, though the policy would focus initially on coal and crude palm oil, two commodities in which Indonesia is a major player.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

Indika Energy Sets Up New Electricity Distribution Unit

Indonesia’s Indika Energy has set up a new electricity distribution subsidiary, Electra Jaringan Indonesia (EJI), according to its stock exchange filing.

EJI’s business activities will include the distribution or distribution services for medium to low-voltage electricity, and retail sale of electricity to end consumers.

In a separate filing, Indika said it had completed the issuance of USD 100 million 8.75% notes due 2029. The company will use the bond proceeds to fund capital expenditures related to the development of its gold mining project in South Sulawesi.

• ☀️ Bright Spot #19: Asia Bond Wave

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Vietnamese EV Maker VinFast’s Move to Shift $7 billion in Debt Raises Red Flags

Over the last decade, Vietnamese electric vehicle maker VinFast Auto has burned through billions of dollars on an aggressive expansion. Now, a plan to sell its two main factories and shift $7 billion worth of debt off its books has sparked concerns about governance at Pham Nhat Vuong’s Vingroup, Reuters reported.

Under a multi-party deal unveiled last week, VinFast will sell its Vietnamese manufacturing business for VND 13.3 trillion ($506 million) to a group of investors who ​will also assume roughly $6.9 billion in debt. The company said this will allow it to adopt an “asset-light” model focused on research and product development rather than manufacturing.

• 💼 Brief Take: Vietnam’s Risk Zone

Manus Weighs Raising $1 Billion to Unwind Meta Takeover

The co-founders of Manus are exploring options to fulfill Beijing’s demand to unwind a controversial takeover by Meta Platforms, including raising about $1 billion from external investors to buy back the Chinese-founded AI operation, Bloomberg reported, citing people familiar with the matter.

Manus’s three founders are in discussions about a round of funding at a valuation that would at least match the $2 billion Meta paid to acquire the agentic AI outfit. The founders may chip in with their own money to finance the rest of the transaction.

• ☀️ Bright Spot #19: Mega Deals

Varde Partners Aims to Raise $1 Billion Asia Private Credit Fund

Varde Partners is looking to launch a $1 billion private debt fund focused on Asia, Bloomberg reported, citing people familiar with the matter.

The vehicle aims to deploy capital across Asia, with a focus on India, Australia, and Southeast Asia. This would be Varde’s first Asian fund focused solely on private credit.

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia Private Credit’s Reality Check

• 📒 Quick Take: Asia’s Mushrooming Private Credit

Indonesia Roundup

Prabowo’s Export Control Plan Sparks Market Selloff

The Jakarta Composite Index (JCI) plunged 3.5% on Thursday as investors dumped commodity-linked shares after President Prabowo Subianto moved to tighten state control over strategic natural resource exports, Jakarta Globe reported.

Trading volume reached more than 35.2 billion shares with turnover totaling IDR 17.9 trillion ($1 billion), while trading frequency exceeded 2.1 million transactions. Losers heavily outpaced gainers, with 663 stocks declining against 88 advancing and 69 unchanged.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

Danantara Picks Luke Thomas Mahony as DSI President Director

Danantara Indonesia CEO Rosan Roeslani said Luke Thomas Mahony has been appointed as the President Director of Danantara Sumber Daya Indonesia (DSI), a new government entity tasked with managing the export of a range of commodities, Tempo reported.

“For now, it’s Luke Thomas,” the Danantara CEO reportedly said. Mahony is an Australian citizen who previously served as a director at Vale Indonesia, according to Tempo.

• 👟 Walk the Talk: Danantara’s War Chest

• 📚 Acrostics Anatomy: Danantara’s Genesis

• 📚 Acrostics Anatomy: Danantara’s Bridge to Bonds

• 📚 Acrostics Anatomy: Indonesian SOE State of Play

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

China Steps Up Oversight of Bond Rating Terminations

Chinese regulators are increasing scrutiny of companies seeking to terminate bond credit ratings amid concerns some issuers may be using the practice to avoid downgrades, Caixin reported.

Some rating agencies were recently instructed to report issuer-requested rating terminations to regulators within three working days. Agencies must explain the reasons for the termination and provide details on the issuer’s operations, financial condition and credit outlook.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

SoftBank Founder’s Starstruck Bet on OpenAI Raises Concern

Some SoftBank officials are anxious over its ballooning commitment to OpenAI, now totaling more than $60 billion, and what they see as their leader’s starstruck devotion to Sam Altman, Bloomberg reported.

A key concern mentioned by these people is that Son is focusing too much of SoftBank’s capital on a single company, especially one that’s lately faced business, reputational and legal problems. SoftBank has sold off assets including its stake in AI chipmaker Nvidia and hasn’t been investing in rival AI models.

Creditors to Submit Claims for Singapore’s Dromond Shipping, Related Firms

The liquidators of Singapore’s Dromond Shipping and related companies issued a notice to their creditors to submit claims on or before 15 June, The Manifold Times reported.

The other companies are Tidewater Emergency Response Services, Tidewater Production Solutions and Tidewater Salvage.

• 📚 Acrostics Anatomy: Singapore’s Restructuring Strides

• 📚 Acrostics Anatomy: Singapore Squeeze

Indonesia Roundup

Indonesia unveils plan to centralise control of commodity exports

Indonesia unveiled a sweeping plan to centralise exports of key commodities ‌such as palm oil and coal, aiming to boost government revenue through tighter control of the sale and pricing of its abundant natural resources, Reuters reported.

Sovereign wealth fund Danantara will oversee a trading company designated to channel exports, starting with palm oil, coal and ferroalloys after a three-month transition. The government may add more commodities at three-month intervals.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

Bank Indonesia Surprises With a Half-Point Hike to Defend Rupiah

Indonesia’s central bank delivered a larger-than-expected interest-rate increase to intensify its defense of the rupiah after the currency tumbled to successive record lows this month, Bloomberg reported.

Bank Indonesia raised the rate by 50 basis points to 5.25% on Wednesday, the first such move since 2022. The move was anticipated by only one economist in a Bloomberg News survey. Twenty-five analysts had expected a quarter-point hike, while 15 predicted a pause.

• 👟 Walk the Talk: Indonesian Outflows

• 📒 Quick Take: Indonesia’s Rating Leak

• 📒 Quick Take: Jakarta’s Third Rail

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

SP Group’s Tata Timer

Shapoorji Pallonji Group (SP Group)’s fundraising includes milestones linked to a possible listing of Tata Sons or a settlement agreement within 18 months, The Economic Times reported on 19 May 2026.

I wrote on 14 April that a successful monetization of the Indian conglomerate’s 18.4% stake in the holding company of Tata Group would depend on an alignment of local regulations, financial calculations and prominent personalities.

I also noted on 16 May that SP Group’s refinancing machinery involves lining up investors who are willing to extend the bridge towards a potential liquidity event, and some of these lenders are likely betting that the Tata Sons stake is an important piece in an emerging power play that can be monetized one way or another.

Prospective lenders are not leaving everything to chance, as they have set the clock ticking for SP Group to extract some cash from its stake.

If a listing of Tata Sons is not forthcoming in 18 months, the alternative is for SP Group to sell its stake – either fully or partially. While the valuation could be a sticking point, the conglomerate led by Shapoor Mistry would have to seriously consider any offer if its back is up against the wall.

I wrote on 8 May that the cost of buying time is escalating for SP Group, as it had to offer a 25-basis-point consent fee to extend the maturity of the notes issued by its unit Goswami Infratech by two months until end-June.

The group’s latest USD 2.7 billion fundraising also doesn’t come cheap: the dollar bond is expected to yield around 14% while the pricing for its rupee portion has been revised upwards to 18.95% from its earlier guidance of 18.75%.

Adani’s Refinancing Return

Another Indian conglomerate, Adani Group, is jumping back into the refinancing pool.

I wrote on 16 May that Indian billionaire Gautam Adani’s easing US legal woes should pave the way for his group to resume its fundraising momentum.

The US Department of Justice has dropped criminal fraud charges against Adani and some officials of his firm, days after he agreed to settle a separate civil case, BBC reported on 19 May.

His group’s flagship company, Adani Enterprises, also agreed to pay USD 275 million to the US Treasury to settle a separate investigation into alleged violations of sanctions on Iran, according to BBC.

Adani Group is now preparing to refinance nearly USD 5.25 billion of debt obligations until 2027, including offshore bond repayments and a large acquisition financing facility linked to its Ambuja Cements and ACC deal, Moneycontrol reported, citing documents and people familiar with the matter.

The US settlement may help to reduce perceived compliance risks and expand the base of potential lenders, though some banks may choose to wait and see first before making a commitment.

Adani’s latest refinancing should be a test of whether the conglomerate can put its US saga behind it and get back in full swing.

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

Global Bond Selloff Threatens Turmoil in Weakest Asian Economies

Three of Asia’s most vulnerable economies are showing rising strains as their central banks come under pressure to tighten policy even as the economic hit from the Iran-war oil shock deepens, Bloomberg reported.

Indonesia, the Philippines and India are already grappling with capital outflows and free-falling currencies as Middle East tensions hurt consumers and companies alike. Now, global bond ructions are piling on further pressure.

Higher US bond yields drive up the dollar and reduce the appeal of emerging-market assets, fueling capital outflows from Asia. That raises the burden of servicing dollar-denominated debt and pressures central banks to raise interest rates to defend their currencies and boost the appeal of local debt, even as domestic growth is set to weaken.

• 📒 Quick Take: Asian Sovereigns’ Tug of War

• 🎒 Indonesian Outflows

SP Group Fundraising Includes Milestones Linked to Tata Sons Monetization in 18 Months

Shapoorji Pallonji Group (SP Group)’s fundraising includes milestones linked to a possible listing of Tata Sons or a settlement agreement within 18 months, The Economic Times reported.

The Indian group owns a roughly 18% stake in Tata Sons and has called for the public listing of the holding company.

SP Group’s fundraising includes its first-ever USD tranche of $1 billion, which is expected to carry yields of around 14%.

Alongside the dollar tranche, the group is also raising rupee debt of around INR 150-160 billion ($1.6-1.7 billion), which is expected to price around 18.95% – revised upward from an earlier guidance of 18.75%, according to ET.

• 💼 Brief Take: SP Group’s Chess Piece

• 💼 Brief Take: Keeping the SP Dream Alive

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 💼 Brief Take: Shapoorji Pallonji Group’s Tightrope Walk

UzNIF’s IPO and Dual Listing in London and Tashkent

Cleary Gottlieb represented the National Investment Fund of the Republic of Uzbekistan (UzNIF), as issuer, and the Ministry of Economy and Finance of the Republic of Uzbekistan, as selling shareholder, on UzNIF’s IPO and dual listing of global depositary receipts (GDRs) on the London Stock Exchange and ordinary shares on the Tashkent Stock Exchange.

The offering raised $603.6 million (before any exercise of the over-allotment option), according to the law firm’s press release.

• ☀️ Bright Spot #18: Asia’s Frontier Bonds

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

Indonesia Roundup

Indonesia Plans to Tighten State Control Over Commodity Exports

Indonesia plans to tighten control over commodity exports including coal and palm oil, as the government seeks to clamp down on tax evasion and bolster a plunging rupiah, Bloomberg reported, citing people familiar with the matter.

The government is planning to create a new state entity to manage exports of the commodities in order to crack down on under-invoicing. The agency would be supervised by Danantara, the sovereign wealth fund that reports directly to President Prabowo Subianto, and could be announced by the president as soon as Wednesday.

• 📒 Quick Take: Indonesia’s “New Order” Resurgence

• 📒 Quick Take: Indonesia’s Strongman Part One

• 📒 Quick Take: Indonesia’s Strongman Part Two

• 📒 Quick Take: Indonesia’s Strongman Part Three

Indonesia Kicks Off Latest Foreign Bond Sale as Pressure Builds

Indonesia started marketing its latest dollar bond offering on Tuesday and flagged that a euro-denominated tranche may follow when London markets open, as the Iran conflict stokes concerns about the nation’s economic vulnerability.

Indonesia has already tapped investors in both markets this year, in addition to the yen and China’s local-currency, raising the equivalent of billions of dollars. The government is marketing five-year and 10-year bonds on Tuesday.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 📒 Quick Take: Indonesia’s Rating Leak

• 📒 Quick Take: Jakarta’s Third Rail

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Evergrande Liquidators Seek $8.4 Billion From PwC in Hong Kong Court

China Evergrande’s liquidators are seeking CNY 57 billion (USD 8.4 billion) in their lawsuit against PricewaterhouseCoopers International and its mainland China and Hong Kong affiliates, Bloomberg reported.

PwC International is looking to extricate itself from the case, which originally focused only on the affiliates, and strike out liquidators’ claims against it. Even if that effort succeeds, liquidators could still pursue the case against the local entities.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

• 👣 Asia’s Restructuring Milestones: China’s Bankruptcy Law

Adani Group Plans $5.25 Billion Debt Refinancing Including Ambuja Deal-Linked Loans

Adani Group is preparing to refinance nearly USD 5.25 billion of debt obligations until 2027, including offshore bond repayments and a large acquisition financing facility linked to the Ambuja Cements and ACC deal, Moneycontrol reported, citing documents and people familiar with the matter.

Bankers said any meaningful progress towards a settlement with the US Securities Exchange Commission (SEC) could improve lender sentiment, reduce compliance concerns and potentially widen the pool of global institutions willing to participate in future refinancing exercises.

Acrostics Asia wrote on 16 May 2026:

💼 Brief Take: Adani’s US Break

It’s unclear if Adani would follow through with a proposed USD 10 billion investment in the US, but it’s a headline number that can be hailed by Trump as a “win” for the Americans. Meanwhile, the easing legal overhang should pave the way for Adani’s conglomerate to get back on its fundraising trajectory.

VinFast Seeks to Shed Most Debt With Vietnam Factory Spinoffs

VinFast Auto said its planned sale of two Vietnamese factories will enable the electric vehicle maker to shed about VND 182 trillion (USD 6.9 billion) in debt and obligations while potentially speeding its path toward profitability, Bloomberg reported.

“After restructuring, VinFast will essentially be debt-free, with only a small amount remaining,” the company said.

• 📒 Quick Take: Vietnam’s Green Shoots

• 💼 Brief Take: Vietnam’s Risk Zone

Indonesia Roundup

Indonesia Rupiah Hits New Record Low

The Indonesian rupiah slid to a fresh record low as stocks slumped and global oil prices hit two-week highs, while the president said the economy was strong and the currency’s slide would not affect villagers because they did not use dollars, Reuters reported via CNA.

The rupiah fell more than 1% to a record low of 17,668 a dollar in early Monday trading.

On Saturday, President Prabowo Subianto spoke about the rupiah’s weakness at two events during a visit to East Java province, both times saying that villagers were not affected by it because they don’t transact in US dollars.

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

• 📒 Quick Take: Indonesia’s Fight Against the Tide

• 📒 Quick Take: Indonesia’s Spinning Plates

Anglo to Sell Australia Coking Coal Mines for $3.88 Billion

Anglo American agreed to sell its steelmaking coal mines in Australia to Dhilmar for as much as $3.88 billion in cash, as the mining company continues to reshape its business, Bloomberg reported.

Dhilmar is led by Alexander Ramlie, an Indonesian former investment banker who was part of the Amman Mineral Internasional consortium which bought a large copper mine in the Southeast Asian country from Newmont Mining Corp.

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

There were some key updates last week on Hong Kong’s commercial property and India’s high-yield space.

💼 Brief Take: Two Sides of Hong Kong’s Property Coin (13 May 2026)

Hong Kong’s commercial property market is on the upswing, and yet bankers handling bad loans in the city are reportedly busier than ever. These pictures may seem contradictory, but they’re actually two sides of the same coin.

I wrote that some loans were structured through special purpose vehicles (SPVs), limiting the recourse that the banks can pursue against the sponsors in the event of a default. While sponsors often request an extension or a restructuring, the banks may decide to enforce the loans during a market rebound rather than kicking the can down the road.

💼 Brief Take: Adani’s US Break (16 May 2026)

Indian billionaire Gautam Adani’s US woes had a breakthrough after he reportedly hired a new legal team led by Robert J. Giuffra Jr., one of President Donald Trump’s personal lawyers and the co-chairman of Sullivan & Cromwell.

It’s unclear if Adani would follow through with a proposed USD 10 billion investment in the US, but it’s a headline number that can be hailed by Trump as a “win” for the Americans. Meanwhile, the easing legal overhang should pave the way for Adani’s conglomerate to get back on its fundraising trajectory.

💼 Brief Take: SP Group’s Chess Piece (16 May 2026)

SP Group’s refinancing machinery is up and running, as the Indian group has reportedly secured commitments for more than half of its planned USD 2.7 billion fundraising. Some investors are likely betting that its 18.4% stake in Tata Sons is an important piece in an emerging power play – and can therefore be monetized one way or another.

🔎 Research Corner #4 (22 April – 15 May 2026)

The Bombay High Court’s decision to freeze the assets of Rolta India’s chairman in support of a New York contempt judgment was a significant development in cross-border enforcement. The ruling was “particularly remarkable” because the chairman was neither a borrower nor a guarantor under the company’s defaulted high-yield bond, according to Kobre & Kim.

The latest edition of Research Corner also includes insights on Indian group Vedanta’s “demerger” plan, China’s regional slowdown, data centres in Southeast Asia, Indonesia’s underlying economic fragilities, and Mongolia’s bond issuance outlook.

👟 Asia Restructurings (12 May 2026)

Within a year, Acrostics Asia has built a track record of accurately flagging companies that would fall into restructurings or liquidations and the likely sticking points.

• Sritex

• Krakatau Steel

• Novaland

• Del Monte

• SriLankan Airlines

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

Adani’s US Break

Indian conglomerate Adani Group is reviving plans to raise around USD 1 billion through a dollar bond issued by its energy unit, Adani Green Energy, Bloomberg reported on 15 May 2026.

The bond sale would come after Gautam Adani and his nephew Sagar agreed to pay a total of USD 18 million to settle US Securities and Exchange Commission (SEC) allegations that they made false and misleading representations about Adani Green Energy.

Two months ago, I wrote that Indian tycoons have shown battle-hardened resourcefulness that makes them formidable opponents. Some lenders stood by Adani because they believed that the outcome of the SEC case should be manageable for the well-connected conglomerate, especially if it ended up as a settlement or a fine.

Gautam Adani had a breakthrough after he hired a new legal team led by Robert J. Giuffra Jr., one of President Donald Trump’s personal lawyers and the co-chairman of Sullivan & Cromwell, The New York Times reported on 14 May.

Giuffra was likely brought in to resolve Adani’s US legal woes across multiple fronts, with the prominent lawyer reportedly negotiating settlements with the SEC, the Justice Department, and the Treasury Department.

During Giuffra’s meeting with the Justice Department last month, one of his slides showed that if prosecutors dropped the charges, Adani would be willing to invest USD 10 billion in the American economy and create 15,000 jobs, according to NYT.

It’s unclear if Adani would follow through with this proposed investment, but USD 10 billion is a headline number that can be hailed by Trump as a “win” for the Americans. Meanwhile, the easing US legal overhang should pave the way for Adani’s conglomerate to get back on its fundraising trajectory.

SP Group’s Chess Piece

Turning to another Indian conglomerate, I wrote on 8 May that Shapoorji Pallonji Group (SP Group)’s refinancing machinery hinges on the shared incentives of the company, creditors and arrangers to extend the bridge towards the potential monetization of its stake in Tata Sons.

This machinery is up and running, as SP Group has reportedly secured commitments for more than half of its planned USD 2.7 billion fundraising and aims to complete the deal before the end ​of next month.

Investors have committed about USD 1.5 billion across the rupee and dollar portions, Reuters reported on 15 May. The group plans ‌to raise USD 950 million via dollar bonds, while the rupee debt tranche has attracted commitments worth around USD 500 million-equivalent.

The dollar bond is likely more appealing to offshore investors because of these factors:

• Reduced exposure to rupee volatility

• Higher liquidity

• An initial yield guidance of 14-14.5%

• A tenor of three years and a put/call option at the end of the first year

Some private credit or special situations funds are drawn to the rupee portion that offers a higher yield.

Global investors including Cerberus Capital Management, Farallon Capital Management and Ares Management are in talks to invest in the rupee debt, which is set to be issued by SP Group’s unit Goswami Infratech with a proposed yield of 18.75%, Bloomberg reported.

I wrote on 14 April that a successful monetization of SP Group’s illiquid stake in Tata Sons, the holding company of Tata Group, would likely require an alignment of local regulations, financial calculations and prominent Indian personalities.

This is the current state of play:

• SP Group’s boss Shapoor Mistry has publicly called for a listing of Tata Sons, describing it as “fundamentally in the public interest.”

• Tata Trusts collectively owns two-thirds of Tata Sons and its board consists of six trustees. At least two of the six trustees – Venu Srinivasan and Vijay Singh – reportedly supported the listing of Tata Sons. However, Tata Trusts Chairman Noel Tata had sought assurances at a board meeting in February that Tata Sons could avoid a public listing.

• The Reserve Bank India (RBI) may require Tata Sons to list unless an exemption is secured. However, the regulator has not publicly stated its position.

Some investors are perhaps betting that SP Group’s 18.4% stake in Tata Sons is an important piece in the emerging power play – and can therefore be monetized one way or another.

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

US Set to Drop Charges Against Indian Billionaire Accused of Fraud

When the Justice Department indicted India’s richest man in the final weeks of the Biden administration, prosecutors described an “elaborate” bribery scheme involving “corruption and fraud at the expense of US investors.”

Now, the Justice Department is planning to drop the charges altogether, The New York Times reported, citing several people with knowledge of the case.

The reversal came after the Indian billionaire, Gautam Adani, hired a new legal team led by Robert J. Giuffra Jr., one of President Trump’s personal lawyers and the co-chairman of the prominent firm Sullivan & Cromwell.

As part of the same meeting, Giuffra sought to resolve a parallel civil case against Adani brought by the Securities and Exchange Commission (SEC), as well as a separate investigation by the Treasury Department. The SEC announced its settlement with Adani late Thursday; the Treasury Department could unveil its own deal in coming days.

Acrostics Asia wrote on 12 March 2026:

💼 Brief Take: India’s Battle-Hardened Billionaires

The Indian conglomerate has retained access to global lenders despite the legal risks from an ongoing Securities and Exchange Commission (SEC) case in the US. Some investors are sticking to Adani because they believe the SEC case might drag on for a while, a buyside friend said, adding that it should be a manageable scenario if the saga ends in a settlement or a fine.

India’s Shapoorji Pallonji Secures Over Half of Planned $2.7 Billion Fundraising, Sources Say

India’s Shapoorji Pallonji Group has secured commitments for more than half of its planned $2.7 billion fundraising and aims to complete the deal before end ​of next month, Reuters reported, citing two sources familiar with the matter.

Investors have committed about $1.5 billion across the rupee and dollar portions of the fundraising.

The group plans ‌to raise $950 million through dollar bonds issued by a unit, with the rest through rupee debt raised by Goswami Infratech. Foreign banks have secured commitments worth about $500 million equivalent from clients for the rupee debt tranche.

• 💼 Brief Take: Keeping the SP Dream Alive

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 💼 Brief Take: Shapoorji Pallonji Group’s Tightrope Walk

Troubled Platform UCars Wound Up on SGD 4 Million Debt

Troubled Singapore car portal UCars has been wound up, more than a year after it was revealed to be SGD 4 million (USD 3.1 million) in debt and owe salaries to former employees, The Business Times reported.

A letter sent to creditors indicates the company was wound up pursuant to a court order dated 20 March, with the reason being cash flow problems.

• 💼 Brief Take: Singapore’s Missing Cars

• 💼 Brief Take: Singapore’s Rental Car Wreck

• 📚 Acrostics Anatomy: Singapore Squeeze

Indonesia Roundup

Indonesia Allows Airlines to Raise Fuel Surcharge to 50% of Fare Ceiling

Indonesia’s Transportation Ministry has adjusted the fuel surcharge mechanism for domestic scheduled commercial flights, Jakarta Globe reported.

Under a Transportation Ministry regulation that took effect on 13 May 2026, airlines are now allowed to impose fuel surcharges of up to 50% of the government’s upper airfare limit, depending on the service category.

• 📚 Acrostics Anatomy: Indonesia’s Albatross

• 💼 Brief Take: Asian Airlines’ Survival of the Most Liquid

• 📒 Quick Take: Garuda Indonesia’s Quicksand

Court Ruling Raises Further Questions Over Future of Indonesia’s Nusantara

The Constitutional Court has reaffirmed that Jakarta remains Indonesia’s capital until a decree is issued to formally transfer its status to Nusantara in East Kalimantan, further raising questions over the project’s development under President Prabowo Subianto’s administration, The Jakarta Post reported via The Star.

The ruling came four years after the mega project was launched by former president Joko Widodo. Nusantara’s development has been slowing down under Prabowo, with various infrastructure projects facing delays.

The project also saw its budget slashed and redirected for Prabowo’s other flagship programs, such as the free meal rollout and Red and White cooperatives.

• 👟 Walk the Talk: Whoosh Whammy

• 📚 Acrostics Anatomy: Indonesia’s Infrastructure Timebomb

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.