Bank Global to offer shares to public

JAKARTA (JP): Bank Global International will sell 50 million shares, or one-third of its total shares, to the public next month, the company announced yesterday.

The bank said the issuance of the shares, each with a nominal price of Rp 500, would be underwritten by PT Trimegah Sekuritas and Interasia Securitindo.

The shares will be listed on the Jakarta Stock Exchange.

About 70 percent of the funds to be raised from the initial public offering would be used to increase the bank's lending portfolio, 20 percent to increase branch networks and the remaining 10 percent to improve technology and human resources, it said.

The bank said it would distribute dividends of between 25 percent and 30 percent if its net profit was over Rp 20 billion (US$6.06 million).

If net profit exceeded Rp 20 billion, the dividend payout would range from 31 percent to 40 percent, it said.

Bank Global, established in 1992, said it booked Rp 3.1 billion in net profit in the first half of this year, up 210 percent from last year's earnings.

Assets were Rp 225.2 billion as of June, reflecting an annual increase of 101.2 percent since 1994.

Third party funds in the bank totaled about Rp 157.5 billion as of June, it said.

"Our total outstanding credit as of June was Rp 125.9 billion," Bank Global added.

The bank said its capital adequacy ratio was 31 percent in June, much higher than Bank Indonesia's 8 percent minimum requirement.

Bank Global is 75 percent owned by PT Permata Prima Jaya, 19.9 percent by PT Intermed Pharmatama and 5.1 percent by businessman Irawan Salim.

The bank's board of directors consists of Irawan Salim, Wiedarto Kartawidjaja, Angeline Nangoi and Rico Santoso, and its board of supervisors Rijanto Sastroatmodjo, Rebecca The Wai Ping and Garry The Kwen Ie.

In September, Bank Global became the second national bank to gain an ISO 9001 quality certificate from the London-based Societe Generale de Surveillance (SGS) International Certification Services for product development, treasury, information technology, human resources, general affairs, credit quality and internal auditing.

The primary offering period and listing will be made next month. (das)