Pamapersda to go public

JAKARTA (JP): Pamapersda Nusantara, a subsidiary of publicly listed PT United Tractors (UT), will launch an Initial Public Offering (IPO) in July to finance its expansion program and repay debts.

Pamapersda's parent company, UT, said in a statement issued on Tuesday that Pamapersda, which provides construction services for coal mining activities, would sell up to 200 million new shares through the IPO, each with a par value of Rp 500.

The shares will be listed on the Jakarta Stock Exchange (JSX) on July 19.

UT said that 50 percent of the IPO proceeds would be used to purchase new heavy equipment, 25 percent to boost its working capital and the remaining 25 percent to repay its parent company's debt.

The company said that Pamapersda's revenue surged by 19 percent to Rp 2.16 trillion (US$196 million) in 2000, from Rp 1.82 trillion in the previous year.

Pamapersda's major clients currently include PT Adaro Indonesia, PT Tambang Batubara Bukit Asam, PT Indominco Mandiri, PT Multi Harapan Utama, PT Kaltim Prima Coal, PT BHP Kendilo Coal Indonesia and PT Kadya Caraka Mulia for coal mining, and PT Indo Muro Kencana for gold mining. (05)