Mon, 06 Mar 2000

NISP to buy Daiwa stake

JAKARTA (JP): Shareholders of publicly listed Bank NISP approved on Saturday a plan to increase the bank's ownership in Bank Daiwa Perdania to 20.10 percent from 11.93 percent.

The bank said the increase in ownership in the joint venture bank would be carried out through the purchase of Daiwa Perdania's new shares, and through the acquisition of Japanese Daiwa Bank's stake holdings in the bank.

"From the two transactions, Bank NISP will increase its stake in Daiwa Perdania to 20.10 percent," the bank said, adding that the two transactions cost Bank NISP about Rp 50.9 billion.

Daiwa Bank also said in a statement on Saturday that it had agreed to transfer some of its equity holdings in Daiwa Perdania to the Bank of East Asia, a major bank based in Hong Kong, in addition to Bank NISP.

After the transfer, the Japanese bank's stake in the Indonesian joint venture bank will decline to 47 percent from the current 84.95 percent.

Daiwa Perdania plans to issue new shares to boost its capital to Rp 200 billion from the current Rp 125 billion. Bank of East Asia will buy part of the new shares to take a stake of about 25 percent in the Indonesian bank. (hen)