PT DSTP to split its shares
PT DSTP to split its shares
JAKARTA (JP): PT Satu Dua Tiga Puluh (DSTP), a private company
set up to finance Indonesia's first passenger jet project, is to
split 400,000 of its two million shares, each with a nominal
value of US$1,000 (Rp 2.36 million), into smaller shares with a
Rp 5,000 par value.
"The share split is deemed necessary to enable the common
people to buy DSTP's shares," company president Saadilah Mursjid,
said yesterday.
The company had issued two million shares with a nominal value
of US$1,000 each but only 391,466 shares had been sold so far, he
said after meeting President Soeharto.
"This way more people especially people in the provinces, can
afford DSTP's shares," Saadilah said.
In the meeting Saadilah was accompanied by the company's other
executives, Rahardi Ramelan and Giri Suseno Hadihardjono.
President Soeharto, as a private citizen, set up the company
in February last year to finance the construction of the 100-
seater N-2130 jets by the state-owned aircraft manufacturer PT
Industri Pesawat Terbang Nusantara (IPTN) in Bandung.
The project is estimated to cost US$2 billion.
Saadilah, also a minister/cabinet secretary, said the plan to
issue the shares would be reported to the Capital Market
Supervisory Agency, Bapepam, Thursday.
He expressed hopes that sales of the split shares could start
soon after Idul Fitri.
DSTP is the first company to sell shares to the public, with
Bapepam's consent, without listing on the Jakarta or Surabaya
stock exchanges.
The split shares, however, have no voting rights.
People wanting shares with voting rights must buy the original
shares with a par value of $1,000. Or they can accumulate the
split shares to reach the equivalent of $1,000 and then change
them for a common share.
"These split shares are like sight drafts, which are tradable.
They are bearer's shares. So be careful in keeping them,"
Saadilah said.
He said the sale of the split shares would be promoted through
society's formal and informal leaders not through officials
because "this is a private company which has no direct links with
the government."
Nevertheless, Saadilah said he and other company executives
would tour the country to ask governors, regents and city mayors
to support the sale.
In addition DSTP was also mulling over forming branches or
using existing cooperatives or foundations in some areas to
market the shares.
DSTP has been targeting rich people and state firms to buy its
shares. State firms overseen by the industry and trade, forestry
and transportations ministries have committed to buying $45
million of DSTP shares.
When the company was founded in February, Soeharto bought
44,950 priority shares worth Rp 103.38 billion, while nine
tycoons bought a further 45,000 priority shares worth Rp 103.5
billion.
DSTP has given $6.9 million to IPTN to build the N-2130
prototype, which is expected to be ready in 2003. The 100-seater
plane is the latest aircraft on IPTN's drawing board.
In 1995, IPTN celebrated the maiden flight of the twin
propeller N-250, the first plane designed and built locally. The
plane is undergoing tests before entering the market.
DSTP shareholders should think about long-term investment
because it is not clear when they can redeem their shares or get
dividends.
Saadilah assured that in the long run DSTP shareholders would
get capital gains, at least from the appreciation of the U.S.
dollar against the rupiah.
In addition, they would get dividends from royalties accrued
from the sales of N-2130 jets, he said. (rid)