Pertamina Receives Emerging Markets Award for Its Successful Global Bond

24 Januari 2012 14:01 WIB

JAKARTA - The impressive bond performance in the middle of European crisis and market fluctuation prompts the International Finance Review, an esteemed media institution well-known in global market players, award the Emerging Markets Award - Emerging Asia Bond to PT Pertamina (Persero).

Pertamina Finance Director Andri T Hidayat and Investment Planning and Risk Management Director M. Afdal Bahaudin were present to receive the award, handed on January 18, 2012 at Grand Ballroom Grosvenor House, London. The award ceremony was attended by more than 1,500 attendees, which comprised global banking leaders, global investment banking leaders, business players from various industries from various countries, as well as the British Royalty Prince Royal Anne who was the keynote speaker.

The Emerging Markets Award - Emerging Asia Bond for Pertamina was presented for the US$1 billion with 10-year tenure and US$500 million with 30-year tenure funding instruments issued by Pertamina in May 2011. From the fundamental transaction point of view, both receive the award because they are considered bond with low coupon (5.25% and 6.5% respectively), as well as was so over-demand by 7 times and 10 times respectively.

President Director of Pertamina Karen Agustiawan welcomes this international recognition. Karen said that this award showed that Pertamina Global Bond had very good performance despite European crisis and US credit rating drop that caused market fluctuation.

Especially when compared to Asia's major emittent, especially with the investment grade ranked ones, bond issued by Pertamina was absorbed by more than 300 investors from the US, Asia and Europe.

The performance in secondary market, in which majority trading at premium level (above 100% value), was still seen as good performance in the middle of European and US crisis.

The award presented by IFR shows the acceptance and trust by stakeholders - including investors, media, market players - toward Pertamina as a Corporation as well as the issuer of funding instruments.

"We thank the International Finance Review for showing trust for Pertamina through this award."

The International Finance Review is a global media institution that has become a reference by international capital market players, investors, instrument issuers, and corporations. IFR has branches in  New York, London, Frankfurt, Hong Kong and Tokyo, and has reader network in Asia, Europe and the US.

Pertamina targets the investment of as much as Rp52.8 billion this year with 80% to be used for upstream activities and the remaining fund for downstream projects. At the upstream sector, Pertamina will increase the work performance, will continue merger and acquisition programs that focus in domestic oil and gas working areas and will selectively increase the portfolio overseas.