Parent company of Bakrie family PT Bakrie & Brothers Tbk (BNBR) just in the first 2 months this year obtained US$278.86 million of debts using subsidiaries' shares as pledges.
Bakrie, on January 21 2010, secured a 12 months loan of US$3.5 million from PT Trust Indonesia by pledging shares of PT Bakrieland Development Tbk (ELTY), PT Bakrie Sumatera Plantations Tbk (UNSP), and PT Bumi Resources Tbk (BUMI).
From January 12- March 23 2010, the loan was pledged by 253.24 million of ELTY shares and 12.42 million of UNSP shares. Starting from March 24- December 21 2010, Bakrie has been using BUMI shares worth Rp64.57 billion as collateral. Bakrie & Brothers is obliged to maintain collateral value is 200% higher than the loan.
A month later, Bakrie & Brothers also secured US$42.1 million of 6 months loan or equals to Rp400 billion, bearing 15% of interest, from Ascention Ltd, Seychelles. Still, the company has pledged 761.90 million of UNSP shares and 50.79 million of UNSP warrants. In May, Bakrie has to pay Rp200 billion and the remaining will be paid in August 2010.
In the same month, Bakrie seized US$105.26 million of loan or equals to Rp1 trillion from Ace Business Ltd. About 1.90 billion of UNSP shares and 126.98 million of UNSP warants have been pledged.
The first payment will due in May of Rp400 billion, in June worth Rp290 billion, and Rp310 billion in August.
In addition, Bakrie issued zero coupon bond of US$128 million to Ascenton Ltd, enabling it to convert the bond into BNBR shares. The bond will mature on March 30 2012. The company uses the proceed to support investment.
As of December 2009, Bakrie posted Rp2.64 trillion of short term loan and Rp6.43 trillion of long term loan from a year before of Rp1.65 trillion. Bakrie also booked Rp2.10 trillion of bonds.