A prolonged talks in deciding final price of state-owned contractor PT Pembangunan Perumahan (PP)'s initial public offering (IPO) with three lead underwriters has eventually ended. PP IPO price is determined at Rp560 per share, sending Rp581.83 billion in fresh cash to the company.
According to additional offering circular published today, PP is underway to offload 1.04 billion shares or 21.46% at a nominal Rp100 per share.The lead underwriters, PT Mandiri Sekuritas, PT Danareksa Sekuritas, and PT DBS Vickers Securirities Indonesia take 992.73 million shares or 95.55% worth Rp555.93 billion, while the remaining goes to syndicated underwritters of 46.25 billion shares or 4.45% worth Rp25.90 billion.
Who is the largest underwriter? Mandiri Sekuritas ranks top with a total commitment to absorb 404.34 million shares or 38.92% worth Rp226.43 billion, followed by Danareksa Sekuritas and DBS with total commitment of Rp213.13 billion and Rp116.36 billion respectively.
According to a source, PP vendors demand reach Rp200 billion-Rp300 billion, more than half of PP IPO target of Rp581.28 billion. "Vendors are willing to buy PP initial shares, while retail investors are demanding lower price," a source said.
PP is planning to offload 21.46% of shares during IPO at Rp560 per share, close to the lowest level of IPO price range of Rp530-Rp900 per share.
It seems PP needs more supports from its vendors to obtain IPO target due retail investors know that the initial price is not as cheap as its peers.
Based on PT Mandiri Sekuritas estimation, IPO underwriter, PP is calculated to book Rp254 billion in net profit this year and Rp309 billion next year. The company's 2009 revenue to reach Rp6.26 trillion.
0 comments:
Post a Comment