Steady Safe to buy 19.9% stake in Citra Marga

Steady Safe to buy 19.9% stake in Citra Marga

JAKARTA (JP): Publicly listed transportation company PT Steady
Safe (SS) obtained approval from its shareholders yesterday to
acquire up to 19.9 percent shares of toll operator PT Citra Marga
Nusaphala Persada (CMNP).

Steady Safe's president Jopie Widjaya said the company would
buy 11.01 percent of the toll operator's stake from a Yayasan
Purna Bhakti Pertiwi, a CMNP founding shareholder.

"We have signed the memorandum of understanding for the 11.01
percent transaction," Jopie told the press following the
shareholders' extraordinary meeting.

But he declined to mention if the additional 8.89 percent
shares would also be purchased from the same institution.

"We do not know yet. The additional 8.89 percent could be from
the founding shareholders or from the market," he said.

Jopie Widjaja, one of Indonesia's noted corporate raiders,
said the purchase of 11.01 percent of CMNP shares would be
finalized by the end of this year at a price of between Rp 2,000
and Rp 2,500.

"We have not come up with the decisive price yet, but the
range will be between Rp 2,000 and Rp 2,500," he said.

He said to finance the deal, Steady Safe would use foreign
borrowing and the company's own funds.

Jopie said yesterday the deal was aimed at forming a strategic
alliance with the toll road operator.

"Steady Safe deals with the transportation business while CMNP
deals with infrastructure," he said.

He said the deal would also cause changes in the management of
PT Steady Safe.

Yesterday's extraordinary shareholders meeting also approved
the appointment of Siti Hardiyanti Indra Rukmana, popularly know
as Mbak Tutut, the chairwoman of CMNP, as the chief commissioner
of PT Steady Safe, Nazamudin Latief, as the vice president
commissioner, Bambang Soeroso, R. Sunaryo and Handoko Gunawan as
commissioners.

The board of directors consist of Jopie Widjaja as president,
Tito Sulistio vice president, Jose T. Panganiban, Lany Himawan,
Rudiyanto Nitihardjo and H. Saleh Muis as directors.

According to CMNP's 1996 annual report, YPBP owns 22.01
percent of the company's shares, PT Jasa Marga 17.79 percent, PT
Krakatau Steel 8.89 percent, PT Indocement Tunggal Prakarsa 8.80
percent, PT Citra Lamtoro Gung Persada 4.40 percent, PT Bhaskara
Duniajaya 2.01 percent, cooperatives 0.50 percent and the public
35.60 percent. (aly)