Working on a number of projects, Nusantara Infrastructure needs Rp9 trillion in funds
This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Investor Daily - Garap Sejumlah Proyek, Nusantara Infrastructure Butuh Dana Rp9 Triliun
28 October 2022
PT Nusantara Infrastructure Tbk (META) requires up to Rp9 trillion in funds to work on a number of projects next year. The funding requirement will be met by a combination of internal cash and external funding such as bonds and others.
President Director of Nusantara Infrastructure, M Ramdani Basri conveys that in order to meet such a large amount of funding requirement, the company plans to carry out corporate actions, namely bond and non-bond issuance. “However, the entire funding will not come from equity alone; part of it or around 50% will be provided from internal sources,” he said to the media, Thursday (27/10/2022).
Ramdani explains that with regard to the toll road business line run by its subsidiary, namely PT Margautama Nusantara (MUN), the company is preparing to build Cikunir-Ulujami segment of Jakarta Outer Ring Road (JORR) spanning 21 km. In addition, the company will also improve several existing toll roads, such as BSD toll road with infrastructure repairs to prevent it from being flooded over.
As for Kunciran-Serpong and Cinere-Serpong segments of JORR-2, he continued, the company will carry out access road repairs and road safety improvement. “Meanwhile, regarding the project in Makassar New Port, the company is going to build an elevated toll access road that connects directly to Makassar New Port,” he explained.
With regard to another line of business, namely drinking water distribution managed by PT Potum Mundi Infranusantara, the Director of Nusantara Infrastructure, Doni Sulaiman said that the company will increase the capacity of its drinking water treatment facility in Medan Industrial Estate (KIM). “The company itself is the second largest drinking water distributor after PDAM Tirto Nadi,” he boasted.
In that line of business, the company has also secured a collaboration in drinking water distribution managed by PT Sarana Catur Tirta Kelola (SCTK) under a 25-year concession with a capacity of 350 lps. Meanwhile, in the business line of renewable energy, META plans to use solar power generators in several company-owned residences.
In regard to this year’s revenue target, the company stands a chance to post a double-digit growth. Although the detailed figures are yet to be revealed, this positive target will extend to next year’s revenue and profit. Around 60-70% of the total revenue will still be contributed by its toll road business, and the remaining 30% will come from its water and energy businesses.
Previously, the Extraordinary Meeting of General Shareholders (EMS) of PT Nusantara Infrastructure Tbk (META) which was held on 7 October 2022 officially approves the plan to acquire 40% stake in PT Jasamarga Jalanlayang Cikampek (JJC). The purchase of shares of Jasa Marga’s subsidiary operating Jakarta-Cikampek segment of Mohamed Bin Zayed (MBZ) Elevated Toll Road will be carried out by META’s subsidiary, PT Margautama Nusantara (MUN).
This step aligns with the government’s program to drive sustainable regional infrastructure development, namely by participating in creating interregional connectivity. The MBZ Toll Road is the longest elevated toll road and the first double-decker motorway in Indonesia, as it was built above Jakarta-Cikampek toll road segment.
