JAKARTA (TheInsiderStories)—The Indonesia Stock Exchange (IDX) suspended trading of PT Bakrie & Brothers Tbk (IDX: BNBR) shares as its price fell significantly.
BNBR stock opened at Rp159 per share in the opening trading today (7/06), then down 55 basis points or 34.59 per cent to Rp104 per share, according to Bloomberg data. Overall, the BNBR’s stock price continues to decline 79.20 per cent to Rp104 per share from Rp500 per share after carrying out a reserve stock split.
BNBR conducted a 10-for-1 reverse stock split on May 31, 2018, as part of an agreement with creditors related to the restructuring of the company’s debt.
“Due to the significant cumulative price increase in BNBR shares, in order to cool down, IDX deems it necessary to terminate trading of BNBR shares on June 8, 2018,” Head of IDX Transaction Supervisory Division Lidia M Panjaitan said in information disclosure on Friday (08/06).
BNBR suspension is conducted in the regular market and cash market until an undetermined time.
Bakrie and Brothers engaged in the field of general trading, agriculture, mining, industry especially the production of steel pipes, construction materials, telecommunication systems, electronics, electrical goods, investments including equity participation in other companies.
The company restructured debts to Credit Suisse in 2016 and 2017 amounting Rp1.37 trillion and Rp1.037 trillion, respectively. This year, BNBR plans to restructure its three creditors with a combined debt of Rp9.87 trillion, accounting for 80 per cent of the total
.BNBR recorded Rp5.99 trillion in the capital deficiency in 2017, slightly down 0.1 per cent from Rp6.05 trillion in 2016.
The company recorded 300 per cent increase in gross profit to Rp414.34 billion last year. The operating expenses also fell 5 per cent to Rp514.33 billion.
However, this gross profit is still unable to compensate the operating expenses so that the company still booked an operating loss of Rp99.98 billion. In addition, BNBR also saw debt interest jumped 61 per cent to Rp434.03 billion and penalty of late debt payment of Rp297, 84 billion. BNBR recorded a net loss of Rp1.2 trillion in 2017, a decrease by 66 per cent from Rp3.59 trillion in 2016.