Govt to assign underwriter for Indosat soon: Ministry

Govt to assign underwriter for Indosat soon: Ministry

JAKARTA (JP): The government will appoint this week an
international financial firm as the lead underwriter of PT
Indosat's public offering to be launched both on local and
overseas markets later this year.

Yusuf Anwar, the secretary general of the Ministry of Finance,
said yesterday that at least 10 international securities firms
are competing to become the lead underwriter for Indosat.

PT Indosat is the state-owned international telecommunications
monopoly. As one of the country's most profitable business
entities, it is expected to be the first state-owned company to
offer shares on an international capital market.

"The selection is underway and the winner will be announced on
Friday," Yusuf said.

The interested securities companies and investment banks
include Solomon Brothers, Merrill Lynch, Yamaichi Securities and
CS First Boston.

Yusuf, also the chairman of the committee for the preparation
of state-owned companies's partial privatization, said the
bidders held a presentation of their underwriting plans early
this month as part of the requirements proposed by the committee.

Around 35 percent of Indosat's shares will be sold to the
public as part of the government's partial privatization program
and the shares will be listed on local and international stock
exchanges.

Indosat's listing will be made on either the New York or
London stock exchange.

A number of state-owned companies, including the national flag
carrier Garuda Indonesia, PT Telekomunikasi Indonesia (Telkom),
the company responsible for domestic telecommunication services,
and subsidiaries of the State Electricity Company and oil company
Pertamina, are being prepared to follow Indosat's move. (hen)