Tancho share issuance set

JAKARTA (JP): PT Tancho Indonesia, a publicly listed producer of cosmetics, perfumes and plastic goods, plans a share issuance later this month to raise funds to finance the construction of a plastic package factory.

The company said it expected to raise about Rp 78 billion (about US$10 million) in cash from the sale of 78 million new shares in the rights issue.

About 80 percent of the proceeds from the public limited offering would be used to finance the construction of the new factory, which is planned for a 5.4 hectare plot in the Cibitung industrial estate, West Java.

The company said that shareholders, with one old share, were entitled to buy one new share in the one-to-one right issue.

At an annual shareholders meeting on Tuesday, the shareholders approved the management's proposal to pay a cash dividend of Rp 400 per share, about 70 percent of the net earning per share.

The company booked a 42.5 percent increase in sales last year to total Rp 372.24 billion. Net profit increased nearly 95 percent to Rp 45.22 billion. (hen)