JAKARTA (TheInsiderStories) – Diversified group PT Barito Pacific Tbk (IDX:BRPT) announced a plan on Monday to raise US$1 billion from rights issue.
The company said it will issue 5.6 billion new shares with a nominal price of Rp500 per share. The existing shareholders who are declined to exercise their rights will have their holdings to be diluted b 26.72 per cent.
At the same time, the company will issue 7 billion units of warrants at a nominal value of Rp500 per unit.
The company said 52 per cent of the rights issue proceeds or US$520.69 million will be used to partially fund the acquisition of Star Energy Group Holdings Pte Ltd shares; 25 per cent will be used to pay debts and the remaining shares will be used to strengthen the company’s working capital.
Currently, 71.19 per cent of Barito shares are held by businessman Prajogo Pangestu, 1.45 per cent by PT Barito Pacific Lumber, 0.46 per cent by PT Tunggal Setia Pratama and public 26.24 per cent.
The execution of the rights issue is pending on the approval of the company’s shareholders, which is scheduled to be held on Feb. 26, 2018.