MBMA Provides IDR 1.77 Trillion in Capital for Nickel Smelter Project
Wed 03 Sep 2025, 02:37 AM
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PT Merdeka Battery Materials Tbk (MBMA) has officially disbursed funding to its affiliated entity, PT Merdeka Tsingshan Indonesia (MTI), through a Mudharabah contract mechanism.
Through an information disclosure to the IDX, this transaction effectively took place on August 28, 2025. In the agreement, MBMA disbursed Mudharabah financing funds totaling IDR 1.77 trillion from the proceeds of the Mudharabah Sukuk issuance after deducting applicable emission costs.
"The Mudharabah Financing Funds will be used by MTI for the purpose of replacing funds obtained from loan facilities by paying a portion of the loan principal whose funds have been used to finance capital expenditures, construction costs, and project operational costs," as quoted in the IDX information disclosure, Tuesday (September 2, 2025).
MBMA's management affirmed that this transaction is an affiliated transaction because MTI is a controlled company of the issuer.
Regarding the ownership structure, MTI is a controlled company of MBMA through PT Batutua Prima International (BPI). BPI itself holds an 80% stake in MTI, thereby strengthening MBMA's position in the development of the nickel supply chain and the electric vehicle battery ecosystem.
In line with this news, MBMA's share price rose by 2.9% to IDR 426 per share. Its market capitalization reached IDR 47.04 trillion.
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