Jakarta. PP Properti, the property developer unnit of state-controlled construction firm Pembangunan Prumahan, plans to raise Rp 1 trillion ($75 million) from issuing bonds in the seccond half of this year to pay back some of its debt.
The company has an outstanding of Rp 300 billion medium term notes that will due this year, PP Properti's finance director Indaryanto said on Tuesday (10/01).
The remainder of the proceeds from the bonds would go to finance the company capital expenditure this year, earmarked at Rp 1.5 trillion to Rp 1.8 trillion, he said. PP Properti has yet to announce the underwriters for the issuance.
Among the develoment plans are a hotel in Lombok, West Nusa Tenggara, that would cost Rp 150 billion and a hotel in Surabaya, East Java.
PP properti will also build two shopping malls in its existing apartment project Grand Kemala Lagoon in Bekasi and Grand Dharmahusada Lagoon in Surabaya, costing Rp 350 billion and Rp 200 billion respectively.