Monday, 17 June 2019 | 11:47 WIB

BNI Leads Syndicated Financing for East Package of Palapa Ring Project

Wisma BNI 46 building (Special)

JAKARTA, NETRALNEWS.COM - PT Bank Negara Indonesia (Persero) Tbk (BBNI) or BNI as the Mandated Lead Arranger and Bookrunner, along with four other banks disburses syndicated loan portfolio worth over IDR4 trillion to finance the construction of Palapa Ring Fiber Optic Network Project of East Package.

Funding is channeled to PT Palapa Timur Telematika (PTT) as a business entity of the project. The other for banks that become the members of syndicated financing are ICBC Indonesia, Bank Papua, Bank Malukumalut and Bank Sulsebar. 

Signing of Syndicated Credit Agreement among syndicated banks and PT PTT was held in Jakarta, Monday (3/27/2017). Present on the occasion were Deputy Director of BNI Herry Sidharta, Director of PT PTT Leon M Kakisina and the directors of members of syndicated banks.

In a written statement, Monday (3/27), Herry said BNI’s support in the Syndicated Loan is one of real forms for accelerated development of infrastructure projects, including support for the national fiber optic network infrastructure.

"BNI participates and supports this East Package of Palapa Ring project, where previously, BNI also supported the financing of the Palapa Ring Project of Central Package. Hopefully, one by one the strategic infrastructure projects can obtain acceleration in the development process, including the construction of fiber optic network in entire territory of Indonesia, which is the backbone of equitable distribution of broadband networks," he said.

In this syndicated credit agreement, BNI acted as Mandated Lead Arranger (MLA) and Bookrunner, as well as the Facility Agent, Security Agent and Escrow Agent with credit worth more than IDR2.6 trillion.

On March 29, 2017, the Ministry of Communications & Informatics will submit effective certificate of the Government-Business Entity Cooperation (KPBU) Palapa Ring project of East Package to PT PTT. (*)