Indonesian mining company ABM Investama, has initiated a tender offer to buy back its $200mn 9.5% 2026s. As per IFR, the company is offering to buy back $40mn of the notes in question. If investors accept the offer by November 2 to tender the notes, they will receive the full principal plus accrued interest, while those who tender after this date will receive $950 per $1,000 in principal plus accrued interest. ABM Investama intends to fund the buyback using escrow funds and internal cash. Lucror Analytics notes that this is a “credit positive for the issuer”.
Their 9.5% 2026s are currently trading flat at 85 cents on the dollar to yield 14.81%.