Wiratama's loss $1.7m

JAKARTA (JP): Publicly listed PT Panca Wiratama Sakti suffered a total loss of Rp 4.07 billion (US$1.7 million) last year due to stiff competition in the middle- and low-cost housing sector.

The company's director Mochamad Noerzeiny said yesterday most big developers had switched to the middle- and low-cost housing sector due to weak demand in up-market sector.

"The high lending rate pushed big developers to build middle and low-cost housing which still enjoys strong demand," he said.

He said PT Intermustika Mutiara had expressed its intention of buying 51 percent of the company or 16,830,000 shares through the stock market at a price of Rp 1,750 per share.

He said the company planned to issue rights shares and bonds this year. No details were given on this plan. (09)