FKS Multi Agro Secures $234m Syndicated Loans for Refinancing, Expansion

Jakarta. FKS Multi Agro, one of the Indonesian largest grain, oilseed, and animal feed distributors, has secured a $234 million syndicated loan facilities from foreign and local banks to refinance its loan and finance the company's and its subsidiaries' expansion. 

The company and its affiliated companies, including the Singapore-based parent FKS Food and Agri, FKS Food and Ingredients, and Tene Capital, obtained $145 million and Rp 1.45 trillion loan facilities from Coöperatieve Rabobank, BNP Paribas Singapore, and Bank BNP Paribas Indonesia, Bank Central Asia, Bank CIMB Niaga, and Bank Shinhan Indonesia. Bank Central Asia and BNP Paribas acted as guarantee agents in the deal. 

Sofia Ridmarini, the company's corporate secretary, said in a statement on Friday that the company and its affiliated companies can increase the loan facilities ceiling by another $100 million. 

Permata Dunia Sukses Utama, Makassar Tene, Enerfo, Enerfo Sugar, Enerfo Sugar do Brazil, Enerfo Malaysia,Padi Flour Nusantara, Sentral Grain Terminal, Terminal Bangsa Mandiri, Nusantara Food FKS, Permata Food Indonesia, and FKS Corporindo Indonesia act as guarantors for the loan facility, Sofia said. 

"This loan can be used to refinance existing loans and for the company and its subsidiaries' capital expenditures and working capital," Sofia said in the statement. 

FKS Multi Argo's total liabilities stood at $255 million and equity at $122 million at the end of June, the company's financial report showed. 

FKS Multi Agro booked $6.96 million net income in the first half this year, up 19 percent from $5.87 million in the same period last year. That despite the company's sales decreased to $460 million in the period, down 8.3 percent from a year ago.