PT Ristia Bintang to sell 70 million shares to public

JAKARTA (JP): Low-cost housing developer PT Ristia Bintang Mahkota Sejati will sell 70 million new shares, or 26.92 percent of its total common stocks, to the public next month, the company announced yesterday.

Ristia president Richard Wiriahardja said the company would also issue 27.5 million in subscription rights (warrants) attached to the new shares.

"The warrants would guarantee shareholders the right to buy the company's shares at the same nominal price within three years, even if the share price rises," Richard said.

For every four new shares, a shareholder would be entitled to one warrant, he said.

Richard said the company would offer the shares during the initial public offering and give a discount voucher for the purchase of a house at one of its projects to shareholders who could not sell their shares, he said.

The issuance of the new shares will be underwritten by PT Trimegah Securindo Lestari and PT Panin Sekuritas.

The shares will be listed on the Jakarta Stock Exchange next month.

He said the company would pay between 10 percent and 15 percent in dividends if its net profit was below Rp 15 billion and between 16 percent and 20 percent if net profit exceeded that amount.

Richard said the company expected to collect Rp 35 billion from the initial public offering.

He said 93 percent of the fresh funds would be used to increase Ristia's ownership in its subsidiaries, PT Ciptojaya Kontrindoreksa, PT Roda Panggon Harapan and PT Bhaskara Mutu Sentosa.

The remaining 7 percent would be used to strengthen the company's working capital, he said.

PT Ristia, established in 1985, focuses on low and middle- income housing development, offering houses for between Rp 9.5 million and Rp 150 million.

Richard said the company booked Rp 5.01 billion in net profit and Rp 24.94 billion in sales in the first half of this year.

Assets were Rp 166.52 billion with a debt equity ratio of 1.02 as of last June. Richard said the company did not have foreign loans.

The company's housing projects are located in the suburbs of Jakarta. They are Bintang Metropol in Bekasi, Citra Kebunmas in Karawang, and Mahkota Simprug, Tiara Simprug and Simprug Di Poris, all in Tangerang.

The other members of the company's board of directors are Umar Komaraningrat and Harjono Kesuma. They are supervised by a board of commissioners comprising Yoga Soegomo, Agusman Effendi, Thomas Wiriahardja and Maria Florentina Tulolo. (das)