Bank Mayapada to float 65m shares<\/p>\n
JAKARTA (JP): Bank Mayapada plans to float 65 million new
\nshares to the public next month to raise Rp 32.5 billion (US$12.7
\nmillion) in fresh funds.<\/p>\n
The bank's president Haryono Tjahjarijadi said at a public
\npresentation yesterday that the bank would use 85 percent of the
\nfunds to strengthen its loan portfolio and 15 percent to expand
\nits banking network.<\/p>\n
\"Currently we operate in five main cities in Java and Bali
\nwith 13 operational offices and 460 employees,\" Haryono said.<\/p>\n
The five cities are Jakarta, Semarang and Surakarta in Central
\nJava, Surabaya in East Java and Denpasar in Bali.<\/p>\n
Chief commissioner Jeffrey K. Wonsono, also the bank's
\nmajority shareholder through PT Mayapada Karunia, said the
\noffering of the new shares was expected to strengthen the
\ncompany's performance.<\/p>\n
\"By going public, we aim not only to strengthen our capital
\nbase but also to expose our management to the public so that we
\nwould perform even better,\" Jeffrey said.<\/p>\n
After the initial public offering, slated for early next
\nmonth, the public will hold 20 percent stake of the bank, while
\nPT Mayapada Karunia will control 59.52 percent and PT Mayapada
\nKasih the remaining 20.48 percent.<\/p>\n
Bank Mayapada, established in 1990, would be among some 30
\nbanks listed on the Jakarta and Surabaya stock exchanges and the
\nthird publicly listed bank established after a major banking
\nderegulation in 1988.<\/p>\n
The bank's public share offering, underwritten by PT Peregrine
\nSewu Securities, would be conducted from Aug. 11 to Aug. 13.<\/p>\n
Haryono declined to mention the offering price for the share,
\nwhich would bear a nominal value of Rp 500 but said the price
\nwould range from Rp 675 to Rp 900, with a price earing ratio of
\n8.2 times to 10.9 times this year's projected profits.<\/p>\n
Bank Mayapada booked total assets of Rp 529.7 billion at the
\nend of March, with paid-up capital of Rp 133.7 billion.<\/p>\n
The bank recorded a net profit of Rp 6.1 billion last year, up
\nfrom Rp 5.4 billion in 1995 and Rp 4.1 billion in 1994. And as of
\nlast March, net profit was recorded at Rp 3.1 billion.<\/p>\n
The bank's total loans reached 429.4 billion as of last March,
\nof which 99.1 percent was performing well and only 0.02 percent
\nwas nonperforming.<\/p>\n
The bank's third party funds were recorded at Rp 384.7
\nbillion. (rid)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bank-mayapada-to-float-65m-shares-1447893297",
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