Indosat delays IDR1 trillion bond sale on poor market

29 Oct 2007

Indonesia’s second largest telephone company by subscribers and revenues, Indosat, has postponed the planned sale of IDR1 trillion (USD109.8 million) worth of bonds, citing poor market conditions as the reason. The telco had hoped to place the bonds in the third or fourth quarter of this year but will now wait for market condition to improve before going ahead, reports Thomson Financial. ‘Indosat continuously monitors the market condition to determine the best time to issue the rupiah bonds in line with the company’s expectation. To support the company’s expansion plan in 2007, Indosat may use internal and other alternative external financing instruments,’ said Indosat president Johnny Swandi Sjam. The telco had earlier forecast 2007 CAPEX to reach USD1.2 billion to fund its network expansion programme.

Indonesia, Indosat Ooredoo (incl. IM2)