Aneka Tambang, Krakatau Steel to go public

Aneka Tambang, Krakatau Steel to go public

JAKARTA (JP): PT Aneka Tambang and PT Krakatau Steel, two of
the country's major state-owned companies, are set to float
shares later this year.

Mining company PT Aneka Tambang will be floated in July and
steel maker PT Krakatau in December.

President of Aneka Tambang Darmoko Slamet said if the
administrative requirements requested by the capital market
supervisory board (Bapepam) were be fulfilled by May, Aneka
Tambang would make its capital market debut by July.

He did not specify the number of shares to be offered.

Sources said the company would offer around 35 percent of its
enlarged shares to raise around Rp 1.4 trillion (US$580 million).

"The ministry of finance has given the go-ahead signal and it
will depends on PT Aneka Tambang as to when it will launch its
initial public offering," he said yesterday.

He said the firm would next week sign an underwriting
agreement with securities companies.

Darmoko said Aneka Tambang planned to list on Jakarta,
Surabaya and London stock exchanges.

He said the London Stock Exchange had many mine-oriented
investors.

IPO proceeds would be partly used to develop the company's
ferro nickel production, in Pomalaa, Sulawesi: "The production
capacity will be increased to 22,000 tons per year, up from
11,000 tons currently."

The company expects net profit to increase to Rp 69 billion
($28.99 million) this year from around Rp 35 billion in 1996.

He said such high projection figures would be supported by the
increasing price of nickel and gold worldwide.

Krakatau

Krakatau Steel, the country's largest steel producer, also
planned to list on the Jakarta and Surabaya exchanges.

Sources said the company would float between 30 percent and 40
percent of its shares, to raise around $600 million.

Krakatau president Soetoro Mangoensoewargo said the steel
company, one of 10 companies under the government's Management
Board of Strategic Industries, had suffered a 47 percent drop in
profit to Rp 129.9 billion last year.

Production fell slightly from 2.2 million tons in 1995 to 2.1
million last year and sales from Rp 2.22 trillion to Rp 2.14
trillion.

He blamed the fall on overstocked production in China and the
dumping of imported items, which affected steel prices.

There are 10 private and state companies expected to go public
this year.

Among of them are PT Dayasakti Unggul Corp, PT Gleneagles
Hospital Corp, PT Surya Semesta Internusa, PT Putra Surya
Multidana, PT Bank Media, PT Bank Arya, PT Humpuss Sea, PT
Elnusa, PT Pelindo, PT Sempati Air, PT Timor Distributor and PT
Eterindo Wahanatama.

Daya Sakti Unggul would float 20 percent of its enlarged
capital to raise Rp 47.5 billion. The company will list its
shares at the JSX on March 25 this year.

Gleneagles Hospital Corp under the Lippo Group will float 32
percent of its shares to raise around Rp 140 billion. The firm
would list at Surabaya Stock Exchange.

Surya Semesta Internusa will list 20 percent of its shares on
Jakarta Stock exchange on March 25 to raise around Rp 67.5
billion.

Putra Surya Multidana, an arm of PSP group, will list on April
24 to raise between Rp 425 billion and Rp 525 billion.

Pelindo will also list its shares in 1997 to raise around Rp 2
trillion.

While Bank Media plans to list its shares to collect Rp 40
billion from the public and Bank Arya will float between 15
percent and 20 percent of its shares to public to raise between
Rp 60 billion and Rp 100 billion this year. (09)