Telagamas Pertiwi changes name, nature

JAKARTA (JP): Shareholders of publicly listed PT Telagamas Pertiwi approved a restructuring proposal which would change the company's status to a holding company and its name to PT Artha Graha Investama Central.

PT Artha Graha's director Sutikno said yesterday the company wanted to diversify its core business from shoe making to consumer electronic product distribution and multi-financing.

"We started expanding our business into the electronics industry last year by buying PT Artha Graha," Sutikno said after the company's joint annual shareholders and extraordinary meetings.

The company's net loss was Rp 3.86 billion (US$1.57 million) last year and Rp 659.06 million in 1995. The losses were a result of weak shoe market over the past two years, he said.

"We expect our net sales to reach Rp 626.9 billion this year, and our net profit Rp 16.7 billion," he said.

Telagamas booked Rp 3.8 billion in net profit from Rp 153.87 billion in sales in the first quarter this year, he said.

Yesterday's meeting also approved a proposal to buy 40 percent, or 2.4 billion shares, of finance company PT Cipta Inti Multiperdana.

The remaining 60 percent of Cipta Inti is owned by Ometraco Arthaguna.

Sutikno said he expected PT Cipta Inti to book Rp 1.2 billion in net profit this year. (das)