Lippo Insurance to float shares<\/p>\n
JAKARTA (JP): PT Lippo General Insurance will float 51 million
\nshares or 34 percent of its enlarged capital, the company
\nannounced yesterday.<\/p>\n
The company's president director, M.F. Tumbelaka, said the
\nfloat would increase the company's paid-up capital to Rp 75
\nbillion (US$31.2 million) from Rp 49.5 billion. The number of
\nshares in the company will increase from 99 million to 150
\nmillion.<\/p>\n
The listing will boost equity to about Rp 200 billion, making
\nLippo General Insurance Indonesia's biggest general insurer.<\/p>\n
The 30-year old company posted a Rp 5.8 billion net profit in
\n1996, up from Rp 2.6 billion in 1995.<\/p>\n
Lippo General Insurance is the general insurance arm of the
\nwidely diversified Lippo Group. It is controlled by PT Lippo Asia
\nand PT Mitranusa Ekamulia.<\/p>\n
Tumbelaka said 80 percent of the money raised would be used to
\nstrengthen the company's solvability through investment in
\nsecurities, commercial papers, deposits or direct participation.<\/p>\n
The remaining 20 percent will be used to finance branch
\nnetwork expansion and to develop information technology, research
\nand development, and human resources.<\/p>\n
Tumbelaka said the company would target middle-income
\ncustomers who make up between seven and 20 million of
\nIndonesia's 200 million people.<\/p>\n
Besides its own marketing capability, the company would
\ncapitalize on Lippo Group's wide business networks to attract
\ncustomers, he said.<\/p>\n
Lippo Group's business includes financial services, retailing,
\nurban development and health care services. (jsk)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/lippo-insurance-to-float-shares-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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