Indonesia's tower operators are taking the opportunity to refinance their debts to avoid the rising interest rates that will likely increase over the next one year or so.
The three tower operators carrying out the refinancing are PT Tower Bersama Group, PT Sarana Menara Nusantara, and PT Solusi Tunas Pratama.
Tower Bersama announced that it had secured US$1.3 billion in new loans, involving $1 billion unsecured term revolving credit facilities and an additional $300million unsecured term credit facility. Banks involved are ANZ, Bank of Tokyo Mitsubishi UFJ, BNP Paribas, CIMB Bank and CTBC Bank.
$900 million will be used to refinance its $2 billion syndicated loan while the remaining $400 million will be used for capex.