IFC wants to underwrite PT Indosat share issues
IFC wants to underwrite PT Indosat share issues
JAKARTA (JP): The Indonesian government isn't ready to line up
the contestants for the underwriting of PT Indosat's
international share issue, but at least one foreign interest is
lobbying hard to wrap up first place .
The International Finance Corporation (IFC), an affiliate of
the World Bank, has embarked on a sales promotion campaign to get
the underwriting deal.
Sudhir Rajkumar of the IFC told a conference here yesterday
that the World Bank's private-sector arm is the best suited to
help take Indonesian state companies international.
"IFC has built a comprehensive in-house knowledge of the
Indonesian economy and significant experience with financing
Indonesian enterprises," Rajkumar told the conference, which
discussed the trends, options and challenges for Indonesian
companies wanting to be listed internationally.
He added that the IFCs sensitivity to Indonesia's development
policy objectives enables it to accurately value a company in the
Indonesian context and to reconcile government objectives with
the commercial interests of prospective investors.
"Bringing a strategic partner on board can be viewed as the
first step in the process of preparing a company to meet the
rigorous listing requirements of international stock markets,"
Rajkumar said.
He said IFC's multilateral character and reputation has often
led to its playing an 'honest broker' role in politically
sensitive or high-profile transactions around the world.
"IFC therefore can balance the interests of local and foreign
investors and at the same time provide transparency and
credibility to the entire privatization process," he stated.
Moreover, he added, IFC has been a co-lead in over US$4
billion in international securities offerings over the past five
years.
IFC, which has an office in Jakarta, has a staff of over 1,200
worldwide, from 94 countries and operating in over 30 cities.
Employees include economists, financial analysts, legal advisers,
country, industry and environmental specialists.(vin)