Danamon's issues shares

JAKARTA (JP): Publicly-listed Bank Danamon has got its shareholders's approval to issue 560 new shares in a limited offering to raise Rp 840 billion (US$358 million).

The existing shareholders will be allowed to buy one new share at Rp 1,500 for each old share, the bank said in a statement yesterday.

The statement said that 80 percent of the proceeds will be used to finance the bank's medium and long term loans, 10 percent to establish new branch offices, and the remaining 10 percent to set up more ATM facilities.

The statement also said that the bank's net profits increased by 37 percent to Rp 133 billion last year.

Bank Danamon's total assets rose 34 percent from Rp 10.5 trillion in 1994 to Rp 14 trillion.

Danamon's credits, according to the statement, increased by 41 percent to Rp 10.5 trillion, while the funds raised from the public came to Rp 10.8 trillion. (08)