Tire Maker Gajah Tunggal To Roll Out Bond Exchange

Indonesia’s PT Gajah Tunngal has said a plan for restructuring its debt will probably gain approval with investors following changes made to a bond exchange offer. A second bondholder meeting was held on July 21 after a quorum was not previously reached. The company intends to swap US$420 million of 10.25 per cent bonds due in 2010 for new notes maturing in 2014.

“In the absence of any substantial blocking votes, the issuer and the company expect to reach the requisite quorum and approval,” a company release stated.