PT Sinar Mas Agro Resources and Technology Tbk (SMART) has opened order books for the second tranche of its Sustainable Bond V and Sustainable Sukuk Ijarah I programmes.
The company is offering bonds with a total face value of Rp672 billion, split into two series: Series A of Rp385 billion carrying a 6.20 per cent coupon and maturing on Feb, 4 2031 (five‐year tenor), and Series B of Rp287 billion with a 6.50 per cent coupon due on Feb, 4 2033 (seven‐year tenor). Interest is payable quarterly and principal will be settled in full at maturity.
Concurrently, SMART is marketing sukuk ijarah worth Rp528 billion. Series A totals Rp460 billion with annual ijarah instalments equivalent to 6.20 per cent over five years, while Series B amounts to Rp68 billion with a 6.50 per cent equivalent yield over seven years. Instalments are paid quarterly, and the remaining ijarah amount will be redeemed in a bullet payment at maturity.
Both the bonds and sukuk are unsecured and rank pari passu with other unsecured obligations of the company. The issues are rated idAA- / idAA-(sy) by PT Pemeringkat Efek Indonesia (Pefindo) and are fully underwritten by a syndicate of seven arrangers, including PT BNI Sekuritas, PT CIMB Niaga Sekuritas, PT Indo Premier Sekuritas, PT Mandiri Sekuritas, PT RHB Sekuritas Indonesia, PT Sucor Sekuritas and PT Trimegah Sekuritas Indonesia Tbk.
The public offering period is set for Jan, 29-30 2026, with electronic distribution and settlement scheduled for Feb, 4 2026 and listing on the Indonesia Stock Exchange on Feb, 5 2026. Proceeds from the bond sale will be directed mainly to refinance a long-term bank loan, while sukuk funds will be used primarily to repay maturing obligations; any remaining amounts will support working capital.
SMART operates an integrated palm-based agribusiness, managing 14 mills and six warehouses across Indonesia. The company reported total assets of Rp43.26 trillion as of Sep, 30 2025 (unaudited) and generated Rp65.65 trillion in net sales during the first nine months of 2025.