Hotel Mandarine Regency (HOME) plans to launch the rights issue, offering 19.94 billion new shares, representing 880% of its enlarged capital, priced at Rp100, to raise total proceeds of Rp1.99 trillion. Each shareholder recorded on April 26, 2019, will be entitled to buy 88 new shares. Trading of rights is scheduled for April 30, 2019.
Current shareholders of HOME are Sea Link Investment Ltd (28%), Agung Tobing (9.57%), Soegianto (5.29%), and public investors (57.14%). After rights issue, with Sea Link Investment opting not to exercise their portion, the new structure of ownership in HOME would be Sea Link (3%), Agung Tobing (1.1%), Soegianto (0.57%), and public investors (95.3%).
HOME has earlier decided to cancel its divestment plan for Goodway Hotel Batam and PT Warga Tri Manunggal. It opted to launch the rights issue, with the proceeds used improving capital structure, boosting its market liquidity, and improving debt to equity ratio. HOME suffered a loss of Rp26 billion in 2018 on revenues of Rp39 billion. Its assets reached Rp281 billion while liability amounted Rp98 billion.
Gold producer Merdeka Copper Gold (MDKA) has gained the approval of its shareholders for offering 416 million new shares to certain buyer or investor (private placement), representing 10% of its enlarged capital. The proceeds will be used to fund its capital expenditure (capex), working capital, and paying debts.
MDKA has also previously raised Rp1.34 trillion from the rights issue for 549.93 million new shares priced at Rp2250 per share. The Company booked a net profit of US$53.1 million in Jan-Sep 2018 period (9M), jumped 187.5% from 9M last year. Revenues surged 266.5% to US$216.19 million.
MDKA targets to produce 180-200 thousands of ounces of gold this year. It will boost its production capacity to 8 million tons per year from the current 4 million. Currently, MDKA is lifting the production at Tujuh Bukit Mine, Banyuwangi. It also develops Pit Lerokis at Wetar Mine Project, starting commercial production this year. Wetar has copper reserves of 9.1 million tons and copper resources of 9.4 million tons.
Elang Mahkota Teknologi (EMTK) plans to sell its direct and indirect shares participation in several media companies. It will divest 99% shares of PT Vidio Dot Com (Vidio.com), 50% plus one share of PT Kapanlagi Dot Com Networks (KLY), and 99% shares of PT Binary Ventura Indonesia (BVI) that owned 60% shares of PT Estha Yudha Ekatama (EYE).
Vidio.com is a video streaming service. KLY is an online media group that operates various portals such as liputan6.com, merdeka.com, kapanlagi.com, fimela.com, bola.com, bola.net, brilio, otosia.com, dream.co.id. EYE is an outdoor advertising company.
EMTK have signed conditional sale and purchase (SPA) for Vidio.com shares with PT Media Anugrah Citra (MAC), for KLY shares with PT Kreatif Media Karya (KMK), for EYE shares with BVI.
Shipping firm Logindo Samuderamakmur (LEAD) focuses on boosting its utilization of vessels this year amid the tight competitiveness in vessel rental business. At the current charter rate, LEAD expects its revenues to grow by 10% this year.
Meanwhile, shipping firm Pelita Samudera Shipping (PSSI) obtained a contract of US$39.4 million from PT Virtue Dragon Nickel Industry for transporting coal and nickel for five years. Recently PSSI acquired a loan facility of US$21 million from ICICI Bank Ltd (Jakarta Branch) and hedging facility of US$1.5 million from ICICI Bank and US$5 million from Citibank Indonesia. This loans will support the Company capex this year (US$50 million).
DISCLAIMER: AUTHOR HAS NO POSITION IN STOCKS MENTIONED
By Yohannes Obor
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