Hutchison wins HTP's Koja's bid

JAKARTA (JP): Hong Kong-based Ocean Investment Ltd. of Hutchison Whampoa was high bidder for PT Humpuss Terminal Petikemas' (HTP's) 49 percent interest in Jakarta's Koja container terminal, said an executive of HTP.

"Ocean Investment has won the bid and will soon pay the US$147 million purchase price in cash," Ongki P. Sumarno, president of HTP's parent company PT Humpuss Intermoda Transportasi, said on Friday after the extraordinary shareholders' meeting.

Ongki said the shareholders meeting approved Ocean Investment as the winner after the Hong Kong company managed to outbid other rivals.

One rival, a consortium led by Singapore-based American President Lines Ltd. of Neptune Orient Lines Group said earlier it withdrew from the competitive bid.

Members of the above consortium are the Singaporean government investment company, Temasek Holdings, and Indonesian shipping firm Samudera Shipping Line Ltd.

Ongki said the sale proceeds of the Koja terminal will be used to repay debts to IBRA, adding that HTP had debts with IBRA amounting to over $100 million.

HTP is a subsidiary of PT Humpuss Intermoda Transportasi, a company within the Humpuss Group, which is controlled by the youngest son of former president Soeharto, Hutomo Mandala Putra.

The Koja terminal is 51 percent owned by state-run port operator PT Pelabuhan Indonesia II (Pelindo II) and 49 percent by Humpuss.

After the sale, Pelindo II still acts as the chief controller of Koja terminal, according to Ongki.

Analysts criticized the sale of Koja terminal to a unit of Hutchison Whampoa, saying that it could create a monopoly in port operations in the area.

Hutchison, through its subsidiary Grosbeak, has a 51 percent interest in the Jakarta International container Terminal, the operator of another port terminal located next to Koja terminal.

Friday's shareholders meeting also approved management's proposal to distribute a dividend of Rp 15 per share for the 1999 financial year.

The dividend payments will be derived from 60 percent of the net income in 1999, the company said.(udi)