Plaza Indonesia to issue rights shares

Plaza Indonesia to issue rights shares

JAKARTA (JP): PT Plaza Indonesia Realty, the owner of the
Jakarta Grand Hyatt hotel which posted a net profit of Rp 23.9
billion (US$11.16 million) last year, will make a rights issue of
115 million shares at a price of Rp 1,750 each.

The planned issuance, which was approved by an extraordinary
meeting of shareholders yesterday, will enable a holder of two
shares to buy a new share.

Plaza Indonesia's corporate secretary, Sylvia Ratulangi, told
a press conference that 70 percent of the funds to be raised by
the rights issue will be used for repaying the company's long-
term debt and the remaining 30 percent for increasing its working
capital.

The issuance of these new shares will increase the company's
public stocks from 230 million to 345 million shares, each with a
nominal value of Rp 1,000.

Sylvia said at the annual shareholders meeting, which was
chaired by company president Bambang Trihatmodjo, a son of
President Soeharto, the company reported a 128 percent increase
in net profits and a 6.1 percent increase in sales turnover to Rp
124.4 billion.

She said Grand Hyatt Jakarta last year continued to maintain
its status as a top-level hotel, with an average increase in room
rates by 2.5 percent to $200.7.

Sylvia said the occupancy rate of the company's Plaza
Indonesia shopping mall was 99.1 percent last year, up by 0.5
percent from 1992. The mall grossed Rp 286 million in revenues
last year, a one percent increase from the previous year.(10)