Asia Roundup
BlackRock’s Asia Private Credit Push Hits Another Snag in India
A BlackRock private credit fund is in talks to extend the maturity of a loan it provided to an Indian e-commerce brand aggregator, Bloomberg reported, citing people familiar with the matter.
Goat Brand Labs is proposing to extend the maturity of $17 million of private debt to September 2028 from December 2027, while also requesting BlackRock to forgo a 6% annual cash coupon, according to a document seen by Bloomberg. The deal, which has a so-called payment-in-kind structure, is expected to generate an internal rate of return of about 16%, the documents added.
Temasek-Backed Seviora, Churchill Asset Management Close $400 Million in Collateralised Fund Obligation
Temasek’s main asset management platform Seviora and Churchill Asset Management announced a close of about USD 400 million in a collateralised fund obligation, The Business Times reported.
The structured product will invest across Seviora’s Asian private credit and global fund-of-funds strategies, as well as Churchill’s US junior capital and private equity secondaries strategies.
Vietnam Developers Raise Over $2.3 Billion Through Private Bond Placements in June
Vietnam’s real estate developers accelerated bond issuances via private placements in June, raising more than VND 60.66 trillion ($2.31 billion) in a single month, The Investor reported.
According to market data, 15 property companies completed 21 privately placed bond issuances during the month, with the majority of proceeds coming from several large developers and legal entities linked to major real estate groups.
The bonds carried a weighted average coupon rate of around 11.27% per year and an average maturity of 29.7 months, reflecting the relatively high cost of capital for real estate companies amid ongoing funding needs.
Issuance activity was highly concentrated among a few major players. Leading the market was Vinhomes, which issued five bond tranches worth a combined VND 22 trillion ($837.6 million), accounting for 36.3% of total issuance value.
Indonesia Roundup
S&P Maintains Indonesia Credit Rating
Credit ratings agency S&P affirmed Indonesia's BBB/A-2 sovereign credit ratings, saying recent fiscal strains should be temporary and could be offset by stronger commodities prices and spending cuts, Reuters reported via CNA.
Indonesia’s policies to boost revenue and export earnings from the resource sector should lift revenue over time, supporting the rating outlook, S&P said. “The stable outlook also reflects our expectation that the government continues to view its 3 per cent annual deficit ceiling as an important policy anchor,” it added.
No Tax Hikes as Indonesia Faces Revenue Shortfall, Finance Minister Says
Finance Minister Purbaya Yudhi Sadewa said the government will not raise tax rates despite projecting this year’s tax revenue to fall short of the state budget target, opting instead to strengthen collections by broadening the tax base through better use of data and technology, Jakarta Globe reported.
Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.