The Republic of Indonesia is the world's largest archipelagic state, with an area of almost 2 million square kilometers, comprising some 17,500 islands, and crossing three time zones. Its population of more than 250 million people makes Indonesia the world's fourth most populous country.
Indonesia has a mixed economy in which both the private sector and government play significant roles. The country is the largest economy in Southeast Asia and a member of the G-20 major economies. The country has extensive natural resources, including crude oil, natural gas, tin, copper, and gold. Indonesia's major imports include machinery and equipment, chemicals, fuels, and foodstuffs, and the country's major export commodities include oil and gas, electrical appliances, plywood, rubber, and textiles.
Lex Mundi in Indonesia
Lex Mundi provides coverage in Indonesia through its member firm, ABNR Counsellors At Law (“ABNR”). The firm is one of Indonesia’s largest independent full-service law firms with more than 100 lawyers, which includes lawyers from the Netherlands and Australia. ABNR is principally engaged in the provision of legal services to foreign companies, banks and international institutions operating or setting up business in Indonesia, as well as to Indonesian enterprises contracting with foreign companies and institutions or with other Indonesian companies. ABNR specializes in the handling of matters in various fields, including: antitrust; aviation; banking and finance; capital markets; construction; corporate; energy; environment; information technology; intellectual property; insolvency; investment; joint ventures; labor law; licensing; mergers and acquisitions; mining; private power; privatization; project finance; real estate; restructuring; shipping/maritime law; and telecommunications. The firm has an outstanding reputation in handling complex and multi-faceted cross-border transactions.
Representative Experience in Indonesia:
- ABNR represented International Finance Corporation (IFC) in connection with 549 million USD worth of loans to PT Panca Amara Utama to finance the construction, equipping and placing into operation of a 2,000 MPTD Greenfield ammonia plant located in Sulawesi, Indonesia.
- ABNR advised KAI, the national railway of Indonesia in the credit agreement of 94.3 million USD to finance the export of 50 General Electric Company locomotives to Indonesia. This deal is also the first direct loan from US Exim to a company in Indonesia.
- ABNR represented Mitsui Corporation in the establishment of a joint venture with the Surya Cipta Group, a property and construction company based in Indonesia, and Thailand-based TICON Industrial Connection Plc.
- ABNR advised Asian Development Bank (ADB), Japan Bank for International Cooperation (JBIC), and six commercial banks in the 1.17 billion USD financing of the 330 MW geothermal power plant in Sarulla, North Sumatera, Indonesia. This marks the financing of the biggest geothermal power project in Indonesia.
- ABNR represented lenders in the financing of the first major IPP that does not have a guarantee from the Indonesian government. Banten IPP in West Java total project cost is 998 million USD and the debt amount is 730 million USD. The project was awarded to Genting, a listed company on the Kuala Lumpur Exchange and also involved a Chinese EPC contractor (Harbin) and saw parties working across five jurisdictions to complete an international standard project financing.