Published Global Bond, Bank Mandiri Receives Funding Of IDR 13.18 Trillion

PT Bank Mandiri Tbk (BMRI) managed to raise funding of US$800 million or around Rp. 13.18 trillion (in an exchange rate of Rp. 16,480) from the issuance of Global Bond and this transaction marks the return of Bank Mandiri to the international debt securities market since 2023.

This debt letter is part of Bank Mandiri's Euro Medium Term Note Program worth US$4 billion and is issued in Regulation S format.

Director of Treasury and International Banking of Bank Mandiri Eka Fitria said that the issuance of Global Bond received 3.5 excess requests or oversubscriptions during the bookbuilding process of the published amount.

To note, this debt letter has a tenor of 3 years and is issued with a coupon of 4.90 percent and is recorded on the Singapore Exchange.

Eka said the proceeds from the issuance of the debt securities would be used for the development of the company's business.

In addition, Eka said that the transaction was the issuance of debt securities in USD currency with the largest amount ever made by banks in Indonesia.

"This debt letter was issued with the thinst spread in the history of Bank Mandiri's Global Bond issuance, namely the US Treasury (UST) 3 Years + 113 bps," he said in his statement, Thursday, March 20.

He conveyed that this success is an achievement and proof that investors have high confidence in Bank Mandiri's performance, as well as confidence in Bank Mandiri's stability and growth potential in the future, even in the midst of global and domestic market uncertainty.

"The positive confidence of investors is also reflected in the rating given to this debt securities with Moody's setting Baa2 and S&P ratings to provide BBB ratings," he explained.

Eka said that investors who bought these debt securities were dominated by fund managers and asset managers by 79 percent of the total issuance allocations, banks and financial institutions by 13 percent, insurance companies by 4 percent, sovereign wealth funds/public sectors by 3 percent, and private banks and corporations by 1 percent.

On the other hand, Eka said investors from Asia dominated 75 percent, and 25 percent of investors from Europe, the Middle East & Africa (EMEA).

Meanwhile, HSBC, JP Morgan, Mandiri Securities, and MUFG act as Joint Bookrunners and Joint Lead Managers for this transaction.