PT Merdeka Copper Gold Tbk (MDKA) provided a guarantee of US$170.29 million to PT Bumi Suksesindo (BSI) for a revolving credit facility and initial financing for BSI.

Based on information disclosure on the IDX, Tuesday (15/6), ING Bank NV Singapore Branch provides a revolving credit facility with a principal amount of up to US$50 million and an initial payment facility (concerning forward hedging transactions and financing of guaranteed gold of US$100 million). 

The value of the guarantee transaction was around 30.21% of the company's total consolidated equity as of December 31, 2020, which was at US$563.64 million.

The guarantees provided are in the form of fiduciary guarantees, share pledges in which the company agrees to pledge its 2.21 million shares in BSI.

Through BSI, a controlled company with 99.89% of its shares, the company conducts business activities in the mining of gold, silver, copper, and other associated minerals.