Excelcomindo plans IPO on 20% of shares

Excelcomindo plans IPO on 20% of shares

PT. Excelcomindo Pratama, the nation's third-largest cellular
operator, announced on Monday that it plans to sell 20 percent of
its shares via an initial public offering (IPO) soon.

In its press statement, Excelcomindo said it would sell 1.42
billion shares, with proceeds from the sale being used to expand
the company's businesses. The shares would be listed on the
Jakarta Stock Exchange.

"Proceeds from the IPO will be used by the company to finance
the expansion of the business," said Excelcomindo president
director Manuel de Faria in the statement.

The company, however, did not provide any price details nor
time frame for the sale. It only said that it had registered the
planned IPO with the Capital Market Supervisory Agency (Bapepam)
on Aug. 8.

De Faria said opportunities for the cellular industry to grow
in Indonesia was still huge, given the fact of low cellular
penetration, conducive macro-economic conditions as well as
sufficient telecommunication infrastructure.

With the IPO, Excelcomindo will become the third
telecommunications company to have listed their shares on the
Jakarta bourse. The two other companies are state-controlled PT
Telkom and privately controlled PT Indosat. -- JP