Danantara to Fully Subscribe to Garuda's Rp 23 Trillion Capital Injection
Executive Summary
Key insights and market outlook
PT Danantara Asset Management (Persero) plans to fully subscribe to PT Garuda Indonesia (Persero) Tbk's Rp 23.67 trillion capital injection through a Rights Issue without Pre-emptive Rights (PMTHMETD). The capital injection includes Rp 17.02 trillion in cash and Rp 6.65 trillion in shareholder loan conversion. This revised amount represents a reduction from the initial plan of Rp 30.72 trillion. The funds will support Garuda Indonesia's financial restructuring efforts.
Deep Dive Analysis
Danantara to Fully Subscribe to Garuda's Capital Injection
Reduced Capital Plan Implemented
PT Danantara Asset Management (Persero), the state-owned asset management company, has announced its plan to fully subscribe to PT Garuda Indonesia (Persero) Tbk's Rights Issue without Pre-emptive Rights (PMTHMETD), amounting to Rp 23.67 trillion. This capital injection is part of Garuda Indonesia's financial restructuring efforts.
Capital Structure Details
The PMTHMETD comprises two components:
- Cash Contribution: Rp 17.02 trillion
- Shareholder Loan Conversion: Rp 6.65 trillion
Revision from Initial Plan
The current capital injection plan represents a significant reduction from the initial amount of Rp 30.72 trillion (or US$ 1.84 billion at Rp 16,696 per USD). The revision indicates a recalibration of Garuda's financial needs and restructuring requirements.
Financial Implications
The capital injection is crucial for Garuda Indonesia's financial health, supporting its ongoing restructuring process. Danantara's full subscription demonstrates the government's commitment to supporting the national carrier's recovery.
Source References
Story Info
Topics Covered
Key Events
Capital Injection through PMTHMETD
Financial Restructuring of Garuda Indonesia