Indonesia Market Summaries 3 July 2014

PT Hexindo Adiperkasa Tbk (HEXA, Rp 3.590, BUY, TP Rp 4,250): Inline FY recurring net income. HEXA recurring net income for fiscal year of 2013 and 2014 in line with analist predictions (104%) and consensus (98%) (HEXA financial statements based on the fiscal year ending March 2013 and 2014).


We liked the HEXA performance because the company will be the beneficiary of the booming infrastructure budget after the election. We adjust our assumptions again and reassign BUY recommendation with TP revised to Rp 4,250, from the previous of Rp 5.450. (Mandiri Sekuritas)

The Indonesia Government will issue euro-denominated global bonds worth 1 billion euros (equivalent IDR 16,3 trillion) in the near future. Government with Bank of America Corp., Citigroup Inc., and Deutsche Bank as underwriters of its publication. The Bonds will be tenured 7 years and the coupon in the range of 195 bps to 210 bps above the median rate swaps Europe. (Kontan)

PT Mitra Investindo Tbk (MITI, Rp 201) will remove the granite quarry business if the acquisition by Saratoga through the Goldwater Group Pte been completed. In addition to his new business to focus on oil and gas, the company assesses granite reserves held just enough for the next 5 years. (Kontan)

PT Acset Indonusa Tbk (ACST, Rp2.350), The general contractor and foundation issuer, get credits worth IDR 250 billion from PT Bank Danamon Indonesia Tbk (BDMN, Rp 4.205, NEUTRAL, TP Rp 4,200). The loan tenure of 3 years. (Investor Daily)


PT Garuda Indonesia Tbk (GIAA, Rp 429) get a loan worth USD 200 million, equivalent to IDR 2.4 trillion. The loan that was originated from the six banks will be used for expansion. These six banks are PT Bank Pan Indonesia Tbk (Bank Panin, PNBN, Rp850, BUY, TP Rp1.000), Dubai Islamic Bank, Emirates NBD, First Gulf Bank, Standard Chartered, and Warba Bank. (Bisnis Indonesia)

Four tower issuers eyeing tower auction of PT XL Axiata Tbk (EXCL, Rp5.225). The four are PT Tower Bersama Infrastructure Tbk (TBIG, Rp7.975, BUY, TP Rp7.200), PT Sarana Menara Nusantara Tbk (TOWR, Rp3.970, NEUTRAL, TP Rp3.750), PT Solusi Tunas Pratama Tbk (SUPR, Rp8.250), and PT Inti Bangun Sejahtera Tbk (IBST, Rp3.175). (Investor Daily)


for Indonesia Market Summaries 3 July 2014