PT Sinar Mas Agro Resources and Technology Tbk (SMAR) set the coupon for the Rp825 billion bond at 7.25-9.50%.

The brief prospectus issued on Friday (29/1) states the sustainable bonds II phase III bonds, offered in three series: A series, with a principal amount of Rp225 billion with a tenor of 370 days, carrying a coupon of 7.25 percent and B series, a 3 years tenor of Rp380 billion bonds with a 9 percent coupon, and C series, a 5 year tenor of Rp220 billion bonds with a coupon of 9.50%.

Continuous bonds II phase III in 2021 is part of the corporate bond sales program with a total fundraised of Rp3 trillion.

The company has received a rating from Pefindo, "A +" for issuing these bonds. The company picked up BCA Sekuritas, CIMB Sekuritas Indonesia, and Sinarmas Sekuritas as the underwriters for the bond issuance and Bank Mega as the trustee.

The bond sale plan had received the effective statement from the OJK on March 27, 2020, and the public offering period will take place on February 10, 11, and 15, 2021,  the allotment date on February 17, 2021, and will list on the IDX on February 22, 2021.

The company will use all of the proceeds to pay a portion of the principal, short-term bank loans, and the principal long-term bank loans.