Special team will study stock exchanges' merger plan
Special team will study stock exchanges' merger plan
JAKARTA (JP): The Jakarta Stock Exchange (JSX) and Surabaya
Stock Exchange (SSX) have set up a special team to study the two
exchanges merger plan.
The exchanges said in a joint statement Saturday that the team
would study the best options that could be carried out in uniting
them.
The merger could be carried out either by uniting the two
exchanges into a single entity, thereby liquidating one or the
other, or only through an acquisition of shares by the larger
exchange so that both companies would still survive after
consolidation.
Results of the team's study are expected to be delivered to
the management of the two exchanges by the latest on Jan. 4 and
be further given to the shareholders by the end of March next
year.
"The shareholders of the two exchanges are expected to approve
the results of the team's study," says a statement signed both by
JSX president Cyril Noerhadi and SSX president Bibin Busono.
The 14-member team includes Avi G Dwipayana of Trimegah
Securindolestari, Hindarmodjo Hinuri K. of Yayasan Pendidikan
Pasar Modal Indonesia, H. Parman Zuharman Jakaria of Jasabanda
Securities, Iwan Margana of Pratama Penaganarta, Widhayati
Hendropurnomo of Lippo Securities, Budi Prasetyo of PT Indosat,
Sri Indrastuti Hadiputranto of Hadiputranto, Hadinoto & Partners
accounting firm, H. Nurkhamid of ArgaArtha Securities, Agus
Prodjosasmito of Danarekaa Sekuritas, L.G. Rompas of Mashill Jaya
Securities, Herman Afif Kusumo of the Indonesian Mining
Association, Basroni Rizal of Intiteladan Arthaswadaya, Lily
Widjaja of Merrill Lynch Indonesia and H.M.S. Sembiring of Mitra
Duta Sekuritas.
The shareholders of the two exchanges agreed in principle late
last month to merge as part of their consolidation process in
order to create greater efficiency and to face the stiff
competition in the global market.
The JSX and SSX are the only two exchanges in the country but
stock market experts have long called on them to merge to trim
the operational costs of the country's listed firms. (aly)