May 21, 2010

Bakrieland rights issue at Rp160

Property developer PT Bakrieland Development Tbk (ELTY) has determined to set the price of fourth rights issue at Rp160 per share with 1 existing share has rights to buy 1.7 new shares. 
A source familiar with the knowledge said the price of Bakrieland's rights issue is 11.60% below the closing price yesterday of Rp181 per share.  
"Considering some business expansion, Bakrieland plans to issue new shares in a bid to snap up Rp5,43 trillion in cash. The proceed will be used to acquire PT Sentul City Tbk [BKSL] and inject a capital into PT Bukit Jonggol Asri," the source said.
The source said Bakrieland will utilize Rp1.92 trillion from rights issue to buy new shares in Bukit Jonggol. In return, ELTY enables to control 51% stakes in Bukit Jonggol and the remaining will be acquired by Sentul City.  
According to a public statement to Indonesia Stock Exchange (IDX), Sentul City will buy 49% stakes in Bukit Jonggol, using proceed of series I warrant, exercised of maximum of Rp350.59 billion. BKSL will use the proceed to buy 233.73 million in Bukit Jonggol in a rights issue at Rp1,500 per share. The investment will be done maximally on September 30 2010.
The strategic investor is committed to acquire 51% stakes in Bukit Jonggol and estimated to strengthen cash position of Bukit Jonggol.  
Acquisition of Sentul City 
The source said Bakrieland also aims to acquire 20% stakes or 5 billion shares in Sentul City worth Rp501 billion. Considering the value, ELTY might buy Sentul City at around Rp100.03 per share. It  is 27% discount from the closing price on Friday of Rp137 per share.
Bakrieland, which is controlled by Bakrie family, will utilize around Rp795 billion from rights issue as working capital and business development of its subsidiary PT Graha Andrasentra Propertindo. "The company is planning to exercise option in toll road operator Ciawi-Sukabumi worth Rp795 billion," the source said.
Sentul City is 43% owned by PT Citra Kharisma Komunika, Athena Offshore Holding Ltd owns 25% stakes, and public shareholders hold the remaining shares.
Should participate the rights issue or not?
Based on IDX data, Sentul City, previously dubbed PT Bukit Sentul, is never to pay a cash dividend since it has been listed in 1997. During 13 years listed in the stock market, Sentul City has conducted three times rights issue. 
The first was held in July 1999 by obtaining approval to offload 4 billion new shares worth Rp800.80 billion. In September 2006, Sentul City held second rights issue by offloading 8.15 billion new shares into the market. In 2010, the company has conducted the third rights issue of 507.51 billion shares.
How about Bakrieland?
Bakrieland is similar with Sentul City. Since it has been listed in the stock market for 15 years, Bakrieland never pays a cash dividend. But, last week, the company's shareholders agreed to distribute a cash dividend of Rp1 per share or 15% of its net profit last year. I think it is pathetic. It is pity for public investors who expect more from Bakrieland.
The question for public investor is what do you expect from Bakrieland's rights issue? If you expect a business growth, ask more dividend to Bakrieland's management.       
But, the company has grabbed much cash from the stock marker through series of rights issue. In 1997, the company conducted its first rights issue of 1.05 billion shares. 
In 2005, Bakrieland held its second rights issue of 4.2 billion shares. Two years later, in April 2007, Bakrieland completed its third rights issue of 14 billion shares. In 2010, the company again plans to the fourth rights issue worth Rp5.43 trillion to get more cash from public investors. When does Bakrieland distribute a worthy dividend to public shareholders?  

3 comments:

Analisa-SahamKu said...

Met pagi pak Wisnu, saya mohon bantuan untuk ulasan tentang kejatuhan market Amerika dan dampaknya pada bursa kita. Sebagai upaya untuk memberikan info yang lebih lengkap dan sebagai materi belajar kita. Makasih

KoTD said...

Pak Wisnu, mengenai 20% saham BKSL yang akan dibeli ELTY, apakah jumlah tersebut tidak setara dengan 5 milyar lembar saham BKSL?
Sumber yang saya baca menyebutkan bahwa jumlah saham beredar BKSL adalah 25 milyar lembar.
Mohon klarifikasinya

Terima kasih

Insider Stories said...

Pak KoTD..saya mengacu pada jumlah saham BKSL per Maret yah..berdasarkan data IDX,,,oh mungkin anda benar BKSL baru saja rights issue, sehingga jumlah sahamnya bertambah,,,thanks atas informasinya