Finding Money To Pay IDR 19 Trillion In Debt: After Selling Two Hartono Malls, Duniatex Still Has A Hospital

JAKARTA - PT Pakuwon Jati Tbk has just purchased three assets belonging to Duniatex Group, namely Hartono Mall in Yogyakarta and Solo, as well as the Marriott Hotel Yogyakarta. Pakuwon disbursed Rp1.36 trillion in funds to realize this corporate action.

Behind that, the fresh funds obtained by Duniatex are alleged to be to patch the company's large debt burden since last year. The total debt of Duniatex Group reaches around IDR 19 trillion.

Previously reported, in June 2020 Duniatex Group could breathe a sigh of relief after the Semarang Commercial Court ratified a peace agreement (homologation) with creditors in a debt restructuring case.

Duniatex Group Corporate Secretary Detri Hakim said the homologation determination by the Panel of Judges was carried out based on a creditor meeting with a voting agenda which was held on June 23, 2020.

At the meeting, there were 55 separatist creditors (with collateral) representing claims worth IDR 19.1 trillion and 16 concurrent creditors (without collateral) representing claims worth IDR 247.5 billion.

"Today, the Semarang Commercial Court has ratified the peace agreement from Duniatex Group and its creditors. This means that starting today the peace agreement that has been agreed by creditors has come into effect and the Duniatex Group is obliged to carry it out," said Detri in a written statement, Last Friday, 26 June 2020.

He explained that this matter had fulfilled Article 281 of Law No. 37/2014 concerning Bankruptcy and Postponement of Debt Payment Obligations (PKPU). The total receivables verified by the Management Team and registered in the Permanent Accounts Receivable List amounted to IDR 19.8 trillion originating from 58 separatist creditors and IDR 247.5 billion from 17 concurrent creditors.

Detri Hakim said that his party expressed his appreciation to the Management Team, Supervisory Judges, and the Panel of Judges for enabling homologation to be achieved. In addition, there are also expressions of gratitude to creditors from banks that are members of the Himbara, private banks and syndicated creditors, bondholders, and concurrent creditors, who for 270 days have contributed in completing this peace proposal.

According to him, this peace and homologation can be achieved with the support of AJ Capital as the Financial Advisor and Aji Wijaya & Co as the attorney, and the entire internal team during the PKPU process.

"In the future, Duniatex Group stated that it is ready to focus on operating more optimally in the face of an unfavorable economic situation," he said.

Previously, a number of Duniatex subsidiaries were requested by PKPU by PT Shine Golden Bridge at the Semarang District Court. Shine Golden Bridge filed a PKPU application with case No. 22 / Pdt.Sus-PKPU / 2019 / PN Niaga Smg on September 11, 2019.

There are six Duniatex subsidiaries that PKPU has applied for, namely PT Delta Merlin Dunia Textile, PT Delta Dunia Tekstil, PT Delta Merlin Sandang Tekstil, PT Delta Dunia Sandang Tekstil, PT Dunia Setia Sandang Asli Tekstil, and PT Damai Trade and Industry Company.

PKPU was requested because Delta Dunia Sandang Tekstil had a syndicated loan of US $ 260 million with a loan interest of US $ 13.4 million. Other Duniatex subsidiaries also have loans totaling Rp. 18.8 trillion, originating from a number of banks in the form of bilateral, syndicated, and bond loans.

The Duniatex Group is a business founded by Hartono in 1974. And now the Duniatex business is being run by the late Hartono inherited from his son, Sumitro.

On the duniatex.com site, Duniatex has 18 subsidiaries spread across several locations. Hartono's business started when he founded CV Duniatex in Surakarta in 1974.

Then, in 1988 began operating the textile finishing or refinement industry. With business development, in 1992 Duniatex took over PT Damaitex located in Semarang which also operated in the finishing industry.

Furthermore, in 1998 established PT Dunia Sandang Abadi and PT Delta Merlin Dunia Tekstil which were engaged in the textile industry from spinning to weaving.

Its business wing has widened by adding a company in 2003 named PT Delta Merlin Sandang Tekstil, in 2006 establishing PT Delta Dunia Tekstil, and in 2010 establishing PT Delta Dunia Sandang Tekstil.

Then, in 2011, Duniatex expanded its business to the property and hotel sector by establishing PT Delta Merlin Dunia Propertindo.

The property and hotel assets owned by Duniatex are Bestwestern Solo Baru, Noorman Hotel Semarang, Favehotel Solo, The Alana Hotel Solo, Hartono Trade Center, Hartono Mall in Solo and Yogyakarta, Hotel Marriot Yogyakarta, De Salvatore Art & Boutique Yogyakarta, De Rivier West Jakarta Hotel, and Wisma Hartono Yogyakarta.

In addition, Duniatex also entered the hospital business under the name of the wife of the late Hartono, or Sumitro's mother, namely Indriati Hospital. The hospital is located in Boyolali and Solo.