Bank Indonesia to sell its 13.11% stake in BPS<\/p>\n
JAKARTA (JP): The central bank, Bank Indonesia, plans to sell
\nits 13.11 percent stake in publicly listed Bank Papan Sejahtera
\n(BPS).<\/p>\n
BPS's president, Al Njoo, said yesterday that the central bank
\nhad given BPS' other shareholders the option of buying its stake.<\/p>\n
\"The existing majority shareholders will proportionally
\nacquire BI's stake in BPS,\" he said.<\/p>\n
\"The divestment deal is expected to be made within the next
\ntwo weeks,\" he said after BPS's shareholders' meeting.<\/p>\n
Njoo said the sale was in line with the central bank's
\ncommitment to reducing its shares in commercial banks.<\/p>\n
Bank Indonesia has a stake in several commercial banks but has
\npledged to gradually divest them to avoid a conflict of interest
\ngiven its supervising role.<\/p>\n
Njoo said that Bank of International Settlement (BIS) had
\nsuggested that central banks worldwide divest their stakes in
\nother banks.<\/p>\n
He said Bank Indonesia's BPS shares were worth about Rp 9
\nbillion (US$3.75 million).<\/p>\n
As of May 1997, shareholders that owned more than 5 percent of
\nBPS were PT Tunasmas Paduarta (19.80 percent); Bank Indonesia
\n(13.11 percent); Chase Manhattan of Singapore (9.39 percent);
\nSomers Nominees (Far East) Ltd ( 8.82 percent); SBC Warbung
\nHongkong (nominees) Ltd (8.44 percent); PT Asuransi Jiwa Bersama
\nBumiputera 1912 (6.80 percent); PT REI Sewindu (6.48 percent); PT
\nAsuransi Jiwasraya (5.69 percent) and the public (21.47 percent).<\/p>\n
Al Njoo also said that BPS, which lends most to the housing
\nand property sectors, planned to launch five-year bonds worth Rp
\n300 billion in September this year.<\/p>\n
He said the bonds would carry a fixed interest rate of about
\n15 percent.<\/p>\n
He said Bahana Securities and Pentasena Securities would be
\nthe managing underwriters of the bonds issuance.<\/p>\n
\"Proceeds from the bonds issuance will finance Bank Papan's
\nhousing credit,\" he said after a shareholders' meeting yesterday.<\/p>\n
He also said that BPS would launch Indonesia's first ever
\nmortgage-backed securities worth around $100 million through the
\nJakarta Stock Exchange in September.<\/p>\n
He said the mortgage-backed securities were to help the bank
\nminimize financial risks in the property sector.<\/p>\n
He said the bank expected to post net profit of about Rp 10
\nbillion in 1997, up 13 percent from Rp 8.8 billion in 1996.<\/p>\n
He said BPS' profit dropped 6 percent to Rp 8.8 billion in
\n1996, from Rp 9.4 billion in 1995 because housing loan payments
\nwere increasingly in arrears.<\/p>\n
Al Njoo said BPS expected to book total assets of Rp 2
\ntrillion in 1997, up from Rp 1.3 trillion as of December
\n1996. (09)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bank-indonesia-to-sell-its-1311-stake-in-bps-1447893297",
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