Dentons HPRP, one of the best full services law firms in Indonesia, has successfully assisted PT Indonesia Infrastructure Finance (“IIF”) in granting a senior term loan to PT Phakpak Bumi Energy (“PBE”). The loan, valued at Rp288 billion, is intended to support the development of a Hydro Power Plant Project with a capacity of 10 MW in North Sumatra.
IIF is a non-bank private financial institution that specializes in financing infrastructure projects, particularly commercially viable infrastructure projects. Its financing services endeavor to catalyse the growth of infrastructure across the country while adhering to international standards on social and environmental safeguards. The borrower, PBE, is a renewable energy company which is developing a Hydro Power Plant project in Phakpak Bharat District, North Sumatra, utilizing the flow of the Lae Ordi River.
The agreement between IIF and PBE was recently signed, highlighting IIF’s contribution to the equitable distribution of electricity in Lampung and North Sumatra. Given the Government of the Republic of Indonesia’s emphasis on expediting infrastructure development nationwide, particularly for the development of power plants fueled by renewable energy, IIF’s actions are in line with the country’s infrastructure goals.
Dentons HPRP team, led by Partners Al Hakim Hanafiah and Winda Tania, supported by Senior Associate Ken Atyk Nastiti, and Associate lawyers Beatrix Deviana Mukin and Raisha P. Diamar, acted as the sole legal counsel in assisting in this notable transaction. The assistance rendered included legal advisory, legal due diligence, preparing all transactional documents, and coordinating with IIF, PBE, and other supporting professionals involved in the transaction.
