Salim sells more RI stake

Salim sells more RI stake

HONG KONG (Dow Jones): The Salim Group said late Wednesday it still plans to sell up to an additional 12.5 percent of PT Indofood Sukses Makmur despite unloading a 40 percent stake Tuesday.

Salim sold 40 percent of Indonesia's largest noodle maker to Hong Kong conglomerate First Pacific Ltd. for US$650 million.

After the deal, Salim, which is also First Pacific's parent company, will control 22.6 percent of Indofood.

Salim said it has retained Credit Suisse First Boston and Morgan Stanley Dean Witter to arrange the sale of the up to 12.5 percent stake.

After selling this stake, Salim said it won't sell the remainder of its holding for at least another six months.

The value of its stake has increased significantly over the past few months as investors bet on the prospects for Indonesia's recovery.