Jaya acquires 70% stake in Jaya Garden

JAKARTA (JP): The shareholders of publicly-listed PT Jaya Real Property agreed yesterday to the company's plan to acquire a 70 percent stake of PT Jaya Garden Polis for Rp 91 billion (US$41 million).

Ciputra, chief commissioner of Jaya Real Property, said after attending the shareholders' extraordinary meeting at the Jakarta Convention Center that 50 percent of the acquisition cost would be financed from the proceeds of his company's initial public offering made last year.

He said his company would make Jaya Garden Polis, previously owned by a consortium of 15 companies, an independent town in the Pasar Kemis area, Tangerang, West Java, on a plot of 850 hectares. At present the company has acquired 642 hectares of the land, with the further 208 hectares expected to be acquired by the end of the year.

Jaya Real Property's president, Tanto Kurniawan, explained that the company would build 54,000 houses on a total area of 1,760 hectares for some 200,000 inhabitants in Jaya Garden Polis within the next 20 years.

Jaya Real Property, established by the Jakarta municipal administration through its Pembangunan Jaya company, floated 35 million shares or 15 percent of its total stocks on the Jakarta Stock Exchange at a price of Rp 5,200 per share last year.

Pembangunan Jaya, 85.1 percent owned by the Jakarta municipal administration and 14.9 percent by Ciputra, controls the other 30 percent stake in Jaya Garden Polis.

Jaya Property, which develops Bintaro Jaya estates in South Jakarta with a total proposed land area of 1,721 hectares, recorded a net profit of Rp 95.23 billion last year, up 225 percent from Rp 29.3 billion in 1993.

The company's annual shareholder meeting last month approved the company's plan to distribute cash dividends of Rp 122 per share, including the interim dividend of Rp 62 which was paid last November. The final dividends will be paid next month. (rid)