Asia Roundup
South Korea Markets Dollar Bond With US Investments on Horizon
South Korea is offering dollar-denominated bonds, an effort to bolster its foreign exchange reserves amid global uncertainties and massive investments pledged under a US trade deal, Bloomberg reported.
The government is planning benchmark-sized notes in three and five-year maturities. Initial pricing for the notes was set at around 13 basis points and about 16 basis points, respectively, over comparable US Treasury yields.
India’s Capri Global Mulls Maiden Dollar Bond Up to $300 Million
Indian lender Capri Global Capital is exploring its maiden dollar bond to raise between USD 200 million and USD 300 million, as the country’s non-bank finance companies increasingly borrow to meet growing demand for credit, Bloomberg reported.
The company is in the process of seeking credit ratings and has held talks with banks for the transaction. The debt’s likely tenor is three years, though mandates have not yet been formally announced and the terms are subject to change.
Pakistan May Divest Remaining 25% Stake in Pakistan International Airlines
Pakistan International Airlines’ privatization is entering its next phase, with officials indicating that the government has an option to divest its remaining 25% stake within a three-month window, following the transfer of management control to a private consortium, Business Recorder reported.
The flag airline is now operating under a new ownership structure in which the government retains a 25% stake, while 75% management authority lies with the private sector consortium led by Arif Habib Group, according to Business Recorder.
Indonesia Roundup
Richest Indonesian Man’s Firms Plan Buybacks After Market Rout
Companies linked to Indonesian billionaire Prajogo Pangestu said they would buy back shares, in a bid to shore up prices after last week’s market meltdown, Bloomberg reported.
Barito Pacific, Chandra Asri Pacific and Petrindo Jaya Kreasi plan share repurchases of as much as a combined IDR 3.75 trillion (USD 224 million), according to filings to the Indonesia Stock Exchange on Tuesday and Wednesday.
Indonesia’s Largest Coal Miners Spared From Major Output Cuts
Some of Indonesia’s biggest coal miners have been spared from cuts to production quotas set by the government, leaving much of the burden to fall on smaller firms, Bloomberg reported.
Bumi Resources, Adaro Andalan Indonesia and Indika Energy have all received their full requests for coal mining quota this year, totaling about 170 million tons. The companies hold special mining contracts, known as IUPKs, which pay higher royalties to the government.
Clifford Chance Advises on Perusahaan Listrik Negara’s $1.5 Billion Bond Issuance
Clifford Chance has advised the arrangers and dealers on the update of Perusahaan Listrik Negara (PLN)’s USD 15 billion Global Medium Term Note program and its most recent USD 1.5 billion bond issuance, according to the law firm’s press release.
The transaction marks the Indonesian state-owned electric utility company’s return to the USD bond market for the first time since 2020.