TOBA Revises IPO Allocation

JAKARTA: Coal miner PT Toba Bara Sejahtra Tbk revised IPO proceeds allocation worth IDR400, 29 billion following the change in released stock portions.

Toba Bara Finance Director Pandu Sjahrir said the IPO proceeds will be allocated to repay debts amounting to IDR104.47 billion, capital expenditure as much as IDR208.95 billion, and to fund acquisition and working capital worth IDR85.66 billion.

“The allocation to pay loan facility to BNP Paribas is 26.1%, capital expenditure 52.5%, and 21.4% for concession acquisition,” he said on Friday (6/7) after the IPO.

The company affiliated with PT Toba Sejahtra issued 210.68 million shares in IPO on Friday (6/7), equals to 20.5% of paid up capital, down from 15% which previously planned.

In the same occasion, Toba Bara Sejahtra President Director Justarina Naiborhu said the reason behind the smaller portion of shares issued was due to market conditions that were affected by European crisis and down trend of commodities price.

“Mining industry is going through had times due to European crisis and commodity price influence,” he said.

TOBA shares rose 15.79% in morning session to IDR2,200 per shares after opened at IDR1,90 per share.

Previously, TOBA planned to use 15% of IPO proceeds to repay loan facility to BNP Paribas, 50% for mining capital expenditure, and 35% for mining concession acquisition or working capital and exploration.

The company which operates in East Kalimantan appointed PY Mandiri Sekuritas, PT Morgan Stanley Asia Indonesia, and PT CLSA Indonesia as the underwriters in the IPO. (T07/TW)

source: Bisnis Indonesia