Linklaters and Allens advise on Republic of Indonesia’s inaugural A$800m Kangaroo bond issuance

Linklaters and Allens advised the dealers on the establishment of the Australian dollar debt issuance programme for the Republic of Indonesia (ROI) and the subsequent inaugural issuance of A$800m notes by the ROI. This marks the ROI’s first entry into the Australian dollar bond market and underscores its growing presence among sovereign and supranational issuers in the region.

The debut Kangaroo bond offering comprises two series: A$500m 4.4% fixed-rate notes due 2030 and A$300m 5.3% fixed-rate notes due 2035. The issuance saw strong demand from global investors, including Australian investors, reaching a total order book of approximately A$8bn.

The joint Linklaters and Allens team worked closely throughout the transaction to navigate the legal and regulatory environment and provide a fully integrated service to clients. The team was led by Linklaters’ partner and Head of South and Southeast Asia Capital Markets Amit Singh alongside partner James Darcy at Allens, Linklaters’ alliance firm in Australia, with support from Linklaters’ counsel Xunming Lim and associate Calvin Cheng and Allens’ senior overseas practitioner Ugo Ba.

Linklaters’ Head of South and Southeast Asia Capital Markets Amit Singh commented:

“We are delighted to support on this landmark transaction, which marks the Republic of Indonesia’s debut in the Kangaroo bond market. This is a significant development for Indonesia’s sovereign financing strategy and reflects the growing financial connectivity across the Asia Pacific region and the growing interest of sovereign issuers in tapping into new markets and diversifying their global investor base. Drawing on Linklaters’ experience advising on innovative and high-profile cross-border capital market deals across the region, our integrated team – working alongside Allens – is proud to have contributed to this success of the ROI.”