SSI optimistic about initial public offering
SSI optimistic about initial public offering
JAKARTA (JP): PT Surya Semesta Internusa (SSI) said it is
optimistic that its initial public offering (IPO) this month
would be a success.
The company said over the weekend that many fund managers had
expressed enthusiasm to buy the company's stocks during public
presentations in Singapore, Hong Kong, London and Edinburgh
recently.
SSI plans to sell around 20 percent of its enlarged shares or
around 135 million shares in the local domestic market this month
at a price of between Rp 1,000 and Rp 2,250.
The company expected to raise between Rp 135 billion (US$57.2
million) and Rp 168 billion from the IPO, it said.
The company said 58 percent of the capital raised would be
used to finance the expansion of its industrial estates, 38
percent for strengthening the capital structure and the remaining
4 percent for working capital.
SSI has appointed PT Usaha Bersama Sekuritas as the managing
underwriter for the share offering.
The company was established in 1971 under the name PT Multi
Investments and changed its name in 1994 to PT Surya Semesta
Internusa.
Surya's consolidated assets as of September 1996 were Rp 860.9
billion and its revenue was Rp 421.2 billion. The company's net
profit, which totaled around Rp 23.4 billion as of September 1996
is projected to hit Rp 48 billion in 1996, much higher compared
to Rp 20 billion in 1995 and Rp 4.8 billion in 1994.
The company covered four lines of business: industrial and
real estate, construction services, building materials and
hotels.
The business group's property projects include the 1,400
hectare industrial estate in Karawang, West Java where the first
500 hectares were developed. The industrial estate facilities
have attracted Levi's, JVC, GS Battery, Bridgestone, Bakaert and
the Indonesian Ceramic Association (KIA). Sumitomo Corporation is
marketing the industrial estate to Japanese investors.
The industrial estates are expected to contribute 71 percent
of the total profit, 15 percent from construction, 3 percent from
building materials, 3 percent from hotels and 8 percent from
other businesses. (10)