CORPORATE ACTION - JAKARTA. PT Kimia Farma Tbk (KAEF) plans to raise funding to finance capital expenditure in 2019. One of them is through the issuance of debt securities.
Kimia Farma Finance Director IGN Suharta Wijaya said KAEF is preparing capital expenditure to reach Rp 4.2 trillion this year.
"We will issue bonds and medium-term notes (MTN). About 50% of capital expenditure is from bonds, "Suharta said when met in Jakarta, Tuesday (3/26).
According to Suharta, the share of capital expenditure last year was 70% from external and around 30% from internal cash.
"Actually, outside the debt securities is enough. Only we are looking for the cheapest. We will launch the possibility of post-election (debt securities), " he said.
Another option is to conduct a rights issue. Suharta said that equity funding would be cheaper than debt. "The rights issue is indeed there. What is certain is after the establishment of a pharmaceutical holding," he said.
