Jababeka estimates profit

JAKARTA (JP): Industrial estate developer PT Kawasan Industri Jababeka expects to meet its 1996 profit projection of Rp 180 billion (US$76 million) after it acquires three companies.

Company executives said yesterday that Jababeka might make between Rp 170 billion and Rp 180 billion in profit this year.

Jababeka's President Ismail Sofyan stated the company would acquire a 67.5 percent stake in both PT Batavia City Realty and PT Batavia Perkasa and a 21 percent stake in PT Cikarang Listrindo.

He said Jababeka had proposed a one-for-three rights issue, still subject to shareholders' approval, to raise Rp 313.6 billion to pay for the acquisitions.

Sofyan said the acquisitions of Batavia Realty and Batavia Perkasa would cost Jababeka Rp 47 billion, while Cikarang Listrindo would cost Rp 99 billion.

Batavia Realty is now developing a 32-story office building in North Jakarta with 47,000 square meters of floor space.

Sofyan said Batavia Realty recorded Rp 17.8 billion in net profit in the first half of this year.

He said Batavia Perkasa would build a five-star hotel, apartments and a shopping mall in the golden triangle area in Jakarta, where it owns 2.25 hectares.

Cikarang Listrindo recorded Rp 9 billion in profit and Rp 118 billion in net revenue in the first half of this year, he said.

Sofyan said that several independent consultants, including Merrill Lynch, Prasetio Utomo, Makes and Partners and PT Penilai, had considered Jakabeka's proposed acquisitions as fair. (alo)