Winds of change blow in Indonesian high yield

Soechi Lines postpones debut bond offering after typhoon Merbok hits Hong Kong and investors pay more heed to tight valuations across Asian high yield.

Investors are displaying increasing caution towards the Indonesian high yield sector where a growing new issue pipeline is butting up against historically tight yields and the weak trading performance of recent deals. 

The first casualty of this new attitude was Indonesia's largest private tanker operator, PT Soechi Lines, which postponed a debut 144a offering on Monday. 

The $200 million transaction had built a reasonable $300 million order book by Asia's afternoon. But it was then struck by typhoon Merbok after the Hong Kong authorities raised the No 8 signal and the territory's financial markets' participants went home.

By this point, London was...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222