Fresh Funds! Chandra Asri, Owned By Conglomerate Prajogo Pangestu, Gets IDR 4.6 Trillion Facility From Bank BRI
JAKARTA – PT Bank Rakyat Indonesia Tbk. (BRI) is said to have reached a cooperation agreement with PT Chandra Asri Petrochemical Tbk. related to the provision of banking facilities worth a total of 325 US dollars or equivalent to IDR 4.6 trillion (exchange rate of IDR 14,357).
BRI's Director of Wholesale and Institutional Business, Agus Noorsanto, said that the facility consisted of a non-cash loan (trade facility and bank guarantee) of US$175 million, as well as a term loan facility of US$75 million and forex services of US$75 million.
"This collaboration encourages BRI to provide services on an ongoing basis within the Chandra Asri business ecosystem from upstream to downstream, to create added value for new collaboration opportunities in the medium, retail, and micro-segments", he said in a written statement on Wednesday, January 5.
According to Agus, the collaboration that was built by both parties could provide capital and expand Chandra Asri's market absorption in the Indonesian and international markets.
"We hope that the facilities provided can increase Chandra Asri's production capacity to meet the increasing domestic demand for petrochemical products", he said.
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For information, Chandra Asri is the largest integrated petrochemical producer in Indonesia. The business entity belonging to the Prajogo Pangestu conglomerate has built a global scale petrochemical complex (CAP2) which is expected to increase production to 8 million tons per year from the previous 4.2 million tons.
Meanwhile, the signing of the work agreement was carried out by Agus Noorsanto with the Director of Finance, Chandra Asri Andre Khor Kah Hin, and the Director of Human Resources and Corporate Affairs, Chandra Asri Suryandi.
"We all want this synergy to reduce Indonesia's dependence on imported petrochemical commodities and create new jobs. The complex owned by Chandra Asri is very strategic in supporting the development of the local petrochemical downstream industry and contributing to the success of the government's vision for Industry 4.0", concluded Agus.