Timah obtains Rp4 trillion credit facility from Bank Mandiri
The 12-month facility can fund general corporate and working capital needs, including obligations linked to natural resource export proceeds.
PT Timah (Persero) Tbk has signed an agreement with PT Bank Mandiri (Persero) Tbk for a credit facility capped at Rp4 trillion, according to a disclosure to the Indonesia Stock Exchange. The agreement was signed on 20 October 2026.
The facility provides bridging finance linked to natural resource export proceeds, known as DHE-SDA. Timah's management said on 21 October that it can be used for general corporate purposes and working capital, including funding needs arising from regulatory requirements to place DHE-SDA funds.
The overall credit limit is revolving, while individual drawdowns are non-revolving. The facility runs for 12 months from the signing date. Each drawdown's tenor is tied to the remaining term of the relevant DHE-SDA placement instrument, with a minimum of 3 months and a maximum of 12 months, and/or follows applicable regulatory requirements.
No specific Timah assets are pledged as collateral. However, the agreement requires DHE-SDA funds and/or other company funds to be blocked under its terms.
Timah said it expects the facility to give it greater flexibility in managing working capital and liquidity, including financing associated with DHE-SDA placement obligations. Management said the transaction has no effect on the company's operations, finances or business continuity.
