The first tranche of bonds consists of 3-, 5-, and 10-year issuances totalling IDR 220 billion (c. USD 12.7 million).

This transaction features two firsts in the country: the 10-year guaranteed bonds have the longest tenor of a financial product of its kind, and the first ever amortising guaranteed bonds, which are uniquely structured to support the funding of long-term digital infrastructure assets.

The guaranteed bonds were subscribed by major institutional investors, including Manulife Indonesia and Generali Indonesia. Manulife Indonesia was the anchor investor providing the largest subscription to the bonds.

The proceeds of the bonds will support the development and construction of a greenfield subsea fibre optic cable system across the central Indonesian islands. The new 2,641km network will offer c. 5.3 million people improved access to internet services by connecting Bali, Nusa Tenggara and Sulawesi islands. The project is designed to bridge the gap between Indonesia’s central and western backbone cable networks, supporting the Indonesian Government’s broader initiative to enhance internet connectivity across the country.

At a broader level, this transaction will help drive greater competitiveness in the telecommunications infrastructure market in an inherently monopolised market. This will improve the availability and quality of bandwidth to individual and corporate end-users in the regions, which is important for economic recovery and a key factor in future productivity growth.

This transaction has been assessed to make a direct contribution to the UN Sustainable Development Goals 8 (decent work and economic growth) and 9 (industry, innovation and infrastructure). As part of this transaction, Triasmitra has committed to the promotion of gender equality across its workforce in the currently male-dominated high value digital sector.