State constructor firm PT Hutama Karya offers global medium-term notes (GMTN) up to US$1.5 billion. The notes get (P)Baa2 rating from Moody’s Investors Service.
At the same time, the agency has assigned a Baa2 senior unsecured rating to the proposed US Dollar bond issuance under the GMTN program. The program and bond ratings will benefit from an unconditional and irrevocable guarantee from the government of Indonesia (Baa2 stable).
The rating assigned to the GMTN program and the proposed bond is in line with Indonesia’s sovereign rating, reflecting the government’s unconditional and irrevocable guarantee. The rating on the guaranteed bond is likely to remain aligned with the sovereign rating and will be affected by negative or positive rating developments at the sovereign rating level.
HK has been assigned as the sole developer and operator of the Trans-Sumatra Toll Roads, which will help transform its business profile from a predominantly construction company to the country’s largest toll roads operator. Upon completion, the projects will be the longest toll road in Indonesia.
