Smartfren Secures $100m Loan From Cascade Gold
Jakarta. Sinar Mas Group’s mobile phone operator Smartfren Telecom signed a loan deal worth $100 million from Cascade Gold, a British Virgin Island finance company, the company said in a filing to the local stock exchange on Monday.
The loan, which was signed on Dec. 22, matures three years after the company starts making withdrawals, Smartfren corporate secretary James Wewengkang said in the statement.
“The loan will be used to repay our debts, as well as those of our subsidiaries, and to help fund working capital,” James said.
He did not elaborate on whether Cascade Gold is affiliated with Sinar Mas Group, nor did he disclose the owners of the British Virgin Island company.
Sinar Mas Group's mobile phone operator Smartfren previously announced that it has set a working capital of between $400 million and $500 million in 2015-16 to develop infrastructure networks for its 4G technology and help the migration of its users, who previously used Code-Division Multiple Access (CDMA) service.
The company secured a loan commitment of $300 million from China Development Bank in March, as part of a larger deal between Sinar Mas Group and a number of Chinese financiers.
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