May 20, 2011

Telkom to boost shares buyback

Indonesia's largest telco operator PT Telekomunikasi Indonesia Tbk (Telkom) has obtained approval to jack up its shares buyback.
Telkom’s General Meeting of Shareholders yesterday agreed to buyback 3.2% outstanding share or 645.16 million shares from initial 2% or 416.67 million shares.
The company prepares Rp5 trillion or equal to Rp7,750 per share for the corporate act from the initial plan of Rp3 trillion.
The shares will be derived from those traded at IDX and New York Stock Exchange on May 20 to December 20, 2012.
The corporate act is expected to put Telkom share at the fair price position.
The bigger volume will not harm it financial condition, Firmansyah argued, as Telkom cash position per March 31, 2011 was at Rp8 trillion.
Moreover, the annual meeting also decided to increase 2010’s dividend distribution to 55% or Rp6.34 trillion from 50% from the total Rp11.53 net profit last year.

Disclosure: No position at the stock mentioned above.

Print This Article

No comments: