Gets PKPU Term Extension, Waskita Beton Commits To Complete Obligations: Total Verified Debt Rp8.06 Trillion

Waskita Beton FX President Director Poerbayu Ratsunu. (Photo: Doc. Waskita Beton)

JAKARTA - PT Waskita Beton Precast Tbk (WSBP) has new hope in settling its debts to creditors. This was after the decision on the postponement of the company's debt payment obligations (PKPU), was extended for the next 30 days starting from May 24 to June 22, 2022.

Waskita Beton FX President Director Poerbayu Ratsunu said the company reaffirmed its commitment to settle all obligations to creditors. He also said his party would be cooperative and open to all stakeholders during the process.

Based on the results of the verification until May 31, 2022, the total verified claims of WSBP creditors amounted to Rp8.06 trillion with a composition of liabilities to banks, bondholders, and partner vendors. Waskita Beton and the Management team are still completing the verification process for the remaining creditor bills.

"The progress of the bill verification has reached around 90 percent. We thank the creditors for the good cooperation, so that the verification process so far can be completed smoothly," he said in a statement quoted by Antara, Wednesday, June 1.

Poerbayu said that the time until June 22 would be maximized to present financial projections and the reconciliation scheme (homologation) to all creditors. "We are currently holding a roadshow to creditors in a one-on-one format as well as group meetings," he explained.

Management and creditors are looking for the best restructuring solution agreement with an emphasis on the going concern of the WSBP business. The peace scheme presented by WSBP was prepared by prioritizing the principle of fair treatment, and based on the aspirations gathered from the results of meetings with creditors since the early days of PKPU.

"Some banks, vendors, and strategic partners have responded positively to the peace scheme we offer," said Poerbayu.

Currently, the WSBP is still in the process of achieving peace, which is targeted to be achieved on June 22. "Management hopes that creditors can give approval to the voting process so that restructuring through the PKPU stage will be achieved," he said.

Later, after homologation is achieved, WSBP is optimistic that all marketing and production activities will resume running at optimal capacity, there will be clarity in debt payments from WSBP to all creditors, acceleration of the process of restoring WSBP's financial fundamentals and the end of the suspension of WSBP's shares in the capital market. "This will be the start of a new chapter of WSBP performance recovery," said Poerbayu.

During the first quarter of 2022, the subsidiary of PT Waskita Karya Tbk recorded operating revenues of Rp.290.42 billion, an increase of 44.52 percent compared to the same period in the previous year.

The operating income comes from various business segments run by the company, namely precast, readymix, quarry, and construction services.

The company also posted a gross profit of Rp44.89 billion and total assets of Rp6.8 trillion. Net cash flow from operating activities experienced a surplus of Rp22.42 billion, cash and cash equivalents at the end of the period also recorded a surplus of Rp116.09 billion.

Cash flow from operating activities was positive because there was an increase in customer receipts compared to the previous year.

Meanwhile, in terms of contract value, WSBP also continues to intensify its expansion into foreign markets, especially in the Southeast Asia, Middle East, and Africa Region.

Together with Waskita Karya as the parent company, WSBP is exploring project opportunities in several countries in Africa.

"We are optimistic that Indonesian pre-cast concrete products will be able to compete in the global market, currently WSBP is exploring road infrastructure work in Africa, namely South Sudan," added Poerbayu.

This project will later become the largest project obtained by WSBP throughout 2022. WSBP's market expansion efforts are carried out in tandem with continuous improvement of business processes.