Modern Bank's primary offering

JAKARTA (JP): PT Lippo Securities announced over the weekend that PT Modern Bank's primary offering of 20 million shares on June 13-15 was oversubscribed.

"The allotment for foreign investors (49 percent) was oversubscribed by 120 percent and for domestic investors by 80 percent," Lippo Securities, the managing underwriter of the offering, said.

The shares, to be listed on the Jakarta Stock Exchange on July 6, were sold at Rp 2,050 (US$0.94) apiece.

The bank will use the fresh funds from the share offering to expand its service networks and information technology, to replenish its lending sources and to develop human resources in cooperation with Sanwa Research Institite.

The bank projects its net profits this year at Rp 21.1 billion, up 185 percent from Rp 7.4 billion last year. During the first five months of this year, the bank grossed Rp 9 billion in before-tax earnings. (yns)