Semen Cibinong plans debt buyback program of up to US$20m
Cement maker PT Semen Cibinong said it is allocating some 10 mln usd from its internal cash flow, with an option to raise the figure to 20 mln usd, for a debt buyback program. Company director Jannus Hutapea said in a statement that the company is offering to buy back its "tranche A" shares at not more than 90 pct of its stock’s nominal price. He said that, apart from a debt haircut, the program aims to reduce the company’s forex debt exposure and dollar-denominated interest costs which have been rising. Hutapea said the buyback is to be carried out via a Dutch auction (which starts at a high price and is progressively lowered until a bid is made and the item sold) with payment to be settled on Dec 6.