Sierad Produce Obtains Additional Loan Facility from Mandiri Bank
In Line with business expansion, on September 28,2010 PT. Sierad Produce Tbk ("Company") signed a loan agreement with PT. Bank Mandiri (Persero) Tbk. (Bank Mandiri) for obtaining additional loan facility in the amount of Rp. 100 Billion which is Rp. 25 billion for Working Capital Loan (“WCL”) and 75 billion for Investment loan (“IL”) IL obtained in accordance with the company’s plan to establish Breeding Farm and Commercial Farm.
Thereby, the total loan acquired by the company until now approximately Rp. 800 billion from a few bank in Indonesia. Considering of the low relative leverage (Debt to Equity Ratio < 1), so banking loan sector is the best alternative for company to fill their principal needs.
The Company is optimistic that with the addition of this loan facility then the Company's performance will be better and able to achieve predetermined targets.