Jasa Marga to go international next July
Jasa Marga to go international next July
JAKARTA (JP): PT Jasa Marga, the state-run company assigned
to manage all of Indonesia's toll roads, will go international in
July next year to raise funds for its freeway projects, an
executive said yesterday.
"We will use half of the funds to finance our new toll road
projects," Jasa Marga's president, Mariyadi Darmokumoro, told
reporters at the Ministry of Public Works office here.
The government is tendering the construction of 19 tollway
segments, of which 18 will be located in Java and the other in
North Sumatra. The projects, with a total length of 770
kilometers, will cost an estimated Rp 6.07 trillion.
Companies interested in the toll road projects, which will be
constructed under a build, operate and transfer arrangement, are
required to establish either joint ventures or joint operations
with Jasa Marga.
Of the 19 toll road segments, one is expected to start
operation by 2000, three by 2001 and the others by 2004.
"We do not have enough funds of our own. That is why we have
to prepare funds to finance the toll roads jointly with the
private sector partners before we start construction," Maryadi
said.
He explained that since three months ago, legal, financial,
and corporate consultants have been analyzing Jasa Marga's
corporate conditions to prepare for going international.
One of the consultants is Peregrine of Hong Kong, he said.
Maryadi, however, said that the government has yet to decide
where the company will be listed and how much money will be
raised from the public offering.
Maryadi explained that the Ministry of Finance will select a
global coordinator for the sale of Jasa Marga shares.
"So far, 11 major securities companies have applied for
coordinating Jasa Marga's public offering overseas and they will
make presentations next month," he said.
He refused to mention the names of the 11 companies but said
that some of them took part in the coordination of the share
issuance in New York by PT Indosat, the state-owned international
telecommunications operator.
Maryadi said that Jasa Marga's profit is expected to increase
to Rp 170 billion this year from Rp 150 billion last year, and
its revenues to Rp 470 billion from Rp 430 billion. (31)