Dharmala Finance to split its stock

JAKARTA (JP): Shareholders of the publicly listed PT BBL Dharmala Finance agreed yesterday to the company's proposal to split its nominal share value from Rp 1,000 (40 US cents) to Rp 500.

Dharmala's president, Arton Taweechotipatr, said after yesterday's annual general and extraordinary shareholders meetings that the split would double the number of shares to 180 million.

"The split will improve the stock liquidity," Taweechotipatr said.

Shareholders also approved a final dividend of Rp 90 a share on June 4.

"Interim dividends were distributed at Rp 60 a share on Dec.18," he said.

Dharmala Finance, which operates in leasing, consumer finance and factoring, is 51.8 percent owned by Dharmala Group's PT Dharmala Sakti Sejahtera, 22.50 percent Bankok Bank Pcl and 25.67 percent by the public.

Last year, the company's net profit rose 36 percent to Rp 33.74 billion from Rp 24.84 billion in 1995.

He said Dharmala's leasing business contributed 70 percent of the total revenue, consumer finance 22 percent and factoring made up the remaining 8 percent.

The company's total assets reached Rp 656.33 billion last year, up 43.86 percent from Rp 456.22 billion in 1995.

Taweechotipatr predicted a 25 percent growth in turnover this year.

"Additional funds for new financing will reach Rp 300 billion this year," he said, adding that his company had signed a US$20 million loan agreement with a German investment bank.

Last year, Dharmala received two medium to long term syndicated loans arranged by International Finance Corporation and Singapore's Sakura Bank for $50 million and for $40 million from Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden NV, Indover Bank NV and Jakarta's ING Bank.

The company also listed its third bond issue on the Surabaya stock exchange last year with a nominal value of Rp 100 billion.

During yesterday's meeting, shareholders agreed to give Rp 611.72 million to the government's poverty eradication program. (02)