ANALYSIS OF COMPANY DEBT RESTRUCTURING USING FINANCIAL MODELING METHOD (A CASE STUDY OF PT ABC)

• Main Author: Hutasoit, Veronika
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/75835
• Institution: Institut Teknologi Bandung

The objective of the research is to analyse the restructuring plan implemented by PT ABC as a consequence to the financial losses incurred by the company starting from 2018. Financial modelling is employed to assess the current financial status of a company and forecast its ability to meet its obligations towards two senior bank loan over a period of 12 years. The assessment of a company's overall well-being can be observed by examining its financial ratios, specifically those related to liquidity, solvency, activity, and profitability. This study aims to introduce Debt Service Ratio Analysis (DSCR) as a determinant of a company's debt repayment ability. It will utilise company financial report data and company cash flow projection data for this purpose. Based on the calculated outcomes, the corporation possesses the capability to fulfil its obligations towards the two senior bank loans of debt restructuring in 2023. These debt settlement scheme can be divided into two distinct phases: (i) interest rate of 2% p.a. for the initial five-year period and (ii) the following seven-year period, interest rates differ depending on the creditor. Creditor B charges an interest rate of 3.54% p.a., while charges 3.68% p.a. for Creditor M.