TELKOMSEL TO ISSUE GLOBAL BOND IN MID-YEAR

Jakarta, Feb 23 (ANTARA) - PT Telkom Tbk plans to issue a global bond worth Rp2 trillion at the end of the first semester, its president director, Rinaldi Firmansyah, said here on Tuesday.

"We hope it can be done in May or June," he said after signing a cooperation agreement on the development of information technology with 14 state-owned companies.

Rinaldi said the process of selecting the underwriters has already been done.

"The name of the underwriter has been determined. But I forget it. Let Pak (Mr) Asno explain it," he said.

He said the bond would be matured in five years with the coupon to be adjusted to the market interest and response.

He said the proceeds would be used for capital expenditures in 2010 reaching US$2 billion.

He said 70 percent of it would be for Telkomsel cellualair phone service, 25 percent for Telkom and five percent for other company's susbisidiaries.

Until the end of 2009, the number of Telkomsel cellulair phone customers reached around 81 millions while the number of its fixed wireless teleohone service Flexi customers 15.5 millions and fixed line customers 8.2 millions.