The crude palm oil (CPO) producer, PT BW Plantation Tbk (BWPT), is underway to get a bond rating from PT Pemeringkat Efek Indonesia (Pefindo).
"The rating might be available on Wednesday," BW Plantation Corporate Secretary Kelik Irwantono told Bisnis last night.
BW Plantation has mandated PT Danareksa Sekuritas as the underwriter emissions of bonds valued at IDR500 billion-IDR700 billion.
An anonymous executive familiar with the matter said the results from the bonds' issuance is intended to support the business expansion until 2012.
"BW Plantation already conducted a serious talk with Danareksa. Possibly, Danareksa will become the underwriter of the bonds issuance scheduled in November this year," the executive said.
When being confirmed, the President Director of Dana Sekuritas Marciano Herman said that the company is still in talks with BW Plantation's management related to this matter.
"We are still discussing the subject with BW Plantation. Related with the number of the bonds that will be issued, it is still discussed," he said last week.
Kelik Irwantono confirmed so far the plan is still in process. "We will decide about it next week," he said.
According to him, BW Plantation's capital expenditure until 2012 is estimated to reach US$80 million-US$90 million. The capex is likely to finance the palm oil planting and the construction of two palm oil processing plants in Central Kalimantan and East Kalimantan.
The total land of BW Plantation is about 92,000 hectares of which 46,000 hectares are planted.
"Until 2012, we are targeting about 63 000 hectares of the land will be planted which means we need to add 17,000 hectares more," he said.
Palm oil processing plant in Central Kalimantan, said Kelik, will have a capacity of 45 tonnes fresh fruit bunches (FFB) per hour, while the plant in East Kalimantan has a capacity of 60 FFB per hour.
"Until 2012, the production capacity of BW Plantation is possibly to reach 210 TBS whereas now it only produces 105 TBS an hour," he said. (wiw)
http://www.bisnis.com/en/corporate/1id201135.html
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