Bhakti Investama to offer 123m shares to public
Bhakti Investama to offer 123m shares to public
JAKARTA (JP): Amid currency and stock market woes, securities
firm PT Bhakti Investama plans to float 123 million shares to the
public next month at a base price of Rp 700 (20 U.S. cents) a
share.
Bhakti Investama president Hary Tanoesudibdjo told Antara in
Surabaya, East Java, yesterday that the company would use about
90 percent of the proceeds to strengthen its working capital.
The company would use the remaining 10 percent to upgrade the
skills of its human resources and open new outlets.
Hary said his company decided to go ahead with its going-
public plan after receiving assurances from various local and
overseas fund managers that they would support the offer.
"Our road shows in some countries and a public presentation in
Jakarta got a positive response from both institutional and
individual investors," Hary said.
The company had conducted road shows for fund managers in
Singapore, Hong Kong, London, Edinburgh and several cities in the
United States.
"Some of them have even expressed their intention of
purchasing our shares," he added.
Hary said he was confident that many foreign fund managers
would subscribe to the company's share offers as foreign
investors could now have up to an 85-percent stake in public
firms.
The company has appointed PT Sinarmas Sekuritas as its main
underwriter and Natwest Market as its international financial
advisor.
Bhakti Investama itself has underwritten initial public
offerings, rights issues and tender offers of some firms like PT
Bank Papan Sejahtera, PT Steady Safe, PT Bank CIC, PT Bank Arya
and PT Artha Graha Investama Sentral.
The company recorded a net profit of Rp 16.7 billion (US$4.6
million) during the first half of this year. It expects a net
profit of between Rp 26 billion and Rp 28 billion this year.
After going public, the company would be 56.44 percent
controlled by PT Bhakti Panjiwira, 14.11 percent by PT Maharani
Tirta Artha, 0.7 percent by Hary Tanoesudibdjo and 28.74 percent
by public shareholders. (rid)