Pertamina, a state-owned Indonesian energy firm, launched new money borrowing into general syndication for as much as $1.4bn. This transaction is four months earlier after the similar size club loan. The company has chosen some banking institutions as mandated lead arranger and bookrunners. They are Bank of China, BNP Paribas, DBS Bank, HSBC, OCBC Bank and Sumitomo Mitsui Banking Corp. The split comprises a one year tranche A for as much as $800m and a one year extension of three-year tranche B at $600m. 62.73bp and 77.5bp over SOFR are the interest margin. Meanwhile, the remaining span is 2.26 years.
Tranche A allocation would be for 60bp margin for the first year and 65bp if there is extension. As a result there is a weighted average margin of 62.73bp. For commitments of $50m, MLAs get a top-level blended all-in pricing of around 112.37bp. This is based on a fee of 32bp for tranche A, then for tranche B is 35bp. The arrangers would get a blended all-in of 196.88bp for $10m-$29m through 22bp and 20bp. Based on the information, the commitments due date is October 21 this year.
Previously in May, Pertamina closed club facility’s five year with $1.45bn-equivalent along with many lenders. It means that they borrowed up to $3bn for general corporate purposes and investments regarding the upstream business. Then, Pertamina Hulu Energi, the upstream unit, ended a multi-tranche loan debt for as much as $2.5bn. This was after attracting around 18 lenders in general syndication. This transaction covers the $1.7bn amortization of A1 five-year facility. Facility A1 purchases an interest margin of offshore 90bp as well as onshore 100bp.
