Issue success for Persero

BANK Dagang Negara (Persero) has successfully launched a US$165 million seven-year floating rate note (FRN) Eurobond.

The FRN, which has a coupon of six-month London Inter-bank Offered Rate (LIBOR) plus 120 basis points, was lead-managed by J P Morgan Securities Asia.

The issue, which is listed in Hong Kong, Singapore and Luxembourg in denominations of $1,000, will close on September 7 and will mature on September 7, 2001.

Adam Howard, head of Capital Markets Asia for J P Morgan, said this was a ground-breaking transaction for Indonesian issuers as borrowers were diversifying their sources of funding.