Latham & Watkins has advised PT Sorik Marapi Geothermal Power (SMGP) on its debut issuance of US$350 million 7.75% senior secured notes due 2031. The notes are listed on the Singapore Exchange Securities Trading Limited (SGX-ST) and received recognition under SGX-ST’s Sustainable Fixed Income Initiative. The transaction represents the first project bond issuance out of Southeast Asia since 2020.

SMGP owns and operates one of the largest geothermal projects in Indonesia and uses an innovative modular technology in geothermal power generation, which differs from conventional centralized power plant technology at other Indonesian geothermal sites. The proceeds from the transaction will be used to finance and/or refinance eligible green projects under SMGP’s Green Finance Framework.

The Latham team was led by Singapore finance partner Timothy Hia, with corporate counsel Jeremy Wang and associate Kay Howe Lee.