BANKING - BII Seeks US$75 Million Financing from IFC

Bank International Indonesia (BII) seeks financing package of up to US$75 million from International Finance Corporation (IFC), an investment arm of World Bank, to finance its expansion program.

According to IFC document, BII expects IFC to provide a senior local currency loan facility to support the bank's expansion in the small medium enterprises (SME) sector, with a particular focus in growing its presence in the poorer provinces in Indonesia and by growing an existing program geared towards BII's female customer base.


"The proposed investment will support the Bank to expand its reach to SMEs and develop a women’s lending product to complement its business. BII plans to open more branches in the frontier provinces where BII has a pioneering presence," IFC disclosed.

BII is the eight largest bank by asset in Indonesia with 290 branches throughout Indonesia. Sorak Financial Holdings Pte Ltd owns 54.33% shares in BII, while Mayban Offshore Corporate Services (Labuan) Sdn Bhd (MOCS) owns 43.19%. Both Sorak and MOCS are the subsidiaries of Malayan Banking Berhad (Maybank), the second largest listed company on the Malaysian Stock Exchange with a market capitalization of over US$9 billion.

Source : http://theindonesiatoday.com/banking-headline/4061-bii-seeks-us75-million-financing-from-ifc.html - Sept 12, 2010