PT Sentul City Tbk

Project Overview

Our Client is a publicly listed Indonesian property developer with a diversified residential, commercial, retail, and mixed-use portfolio.

Challenges

• A prolonged real estate slowdown, compounded by COVID-19, resulted in declining sales, negative operating cash flow, and liquidity constraints. Main source of cash is from its residential sales, however ready to sale inventory was relatively low compared to debt obligations with significant working capital financing required to complete ongoing projects. Several ongoing projects were overdue and the Client faced multiple PKPU and bankruptcy petitions from vendors and customers.

Our Approach

• AJCapital acted as the financial advisor representing the Client.
• Assisted in customer and creditors outreach to secure broad participation in the process.
• Served as central coordination point, coordinating closely with management, legal counsel, administrators, and creditor groups throughout the PKPU process.
• Developed forward-looking cash flow to identify a sustainable repayment structure.
• Designed a comprehensive liability management strategy, including deleveraging through asset divestments, re-profiling bank debt maturities and commercial terms, capitalization of raw landbank, and deferral of selected project completion and customer settlement obligations to restore liquidity and improve balance sheet bankability.
• Led creditor negotiations and structured the commercial terms of the Composition Plan.

Outcome