(July 3, 2025)--PEFINDO has assigned its idA+ rating for PT Barito Pacific Tbk’s (BRPT) proposed Shelf- Registered Bond IV (SR Bond IV) of a maximum of IDR3 trillion. The proceeds from the issuance of Phase I of IDR1 trillion will be used for refinancing purposes for its Shelf Registered Bond III Barito Pacific Phase II Year 2023 Serie A and partial repayment of BRPT’s debt to PT Bank Negara Indonesia (Persero) Tbk. At the same time, PEFINDO has affirmed its idA+ rating with stable outlook to BRPT. We have also affirmed idA+ ratings for BRPT’s outstanding Shelf Registered Bond I, Shelf Registered Bond II, and Shelf Registered Bond III. The rating reflects the solid market position of BRPT’s major operating segments, stable dividend distribution from these major subsidiaries, and the stable revenue stream from the energy segment. However, the rating is constrained by its moderate cash flow protection measures, indirect access to the cash flow of its operating subsidiaries, and the inherent risks related to its key operating segments.
The rating may be raised if BRPT’s performance improves as reflected in a sustained improvement in the financial profile, particularly its financial leverage resulting from deleveraging efforts and higher cash flow generation from subsidiaries. However, the rating may be lowered if there is a persistent deterioration in its financial profile due to a narrowing spread in the petrochemical business or higher debt than projected without being compensated for by stronger cash flow generation. The rating may also be under pressure in case of a deterioration in its cash flow stream from its subsidiaries, which may be triggered by lower earnings in the petrochemical sector or disruption in its geothermal business. The rating has not factored in some of the additional debt-funded capital expenditure for several key projects, as the final investment decisions have not yet been finalized.
Established in 1979, BRPT is an investment holding company ultimately owned by Prajogo Pangestu. The Company currently operates in two major segments, petrochemical and renewable energy, through its controlling stakes in PT Chandra Asri Petrochemical Tbk and PT Barito Renewable Energy Tbk. As of December 31, 2024, its shareholders consisted of Prajogo Pangestu (71.31%), PT Barito Pacific Lumber (0.58%), PT Tunggal Setia Pratama (0.34%), Agus Salim Pangestu (0.01%), and others (27.76%). (ends)
