JAKARTA (TheInsiderStories) – Publicly listed lender, PT Bank Mayapada Internasional Tbk (IDX: MAYA) seeks fund Rp1 trillion (US$70.42 million) from the rights issue plan in October, it said on Monday (o8/26).
The bank plans to release 455.49 million Series B shares with the price of Rp2,200 a share. As for every 14 old shares holders entitled to one rights share with an exercise price.
In this issue there are no standby buyers, therefore, if there are still remaining shares in this rights issue after the allocation, the shares will not be issued from the portfolio. However, PT Mayapada Karunia as the major shareholder with ownership of 26.42 percent would take part in buying shares in this rights issue, with a maximum amount of 120.32 million shares.
In line with that, JPMCB-Cathay Life Insurance Co. Ltd. other shareholders with ownership of 40 percent of the total shares stated that they will take part in buying shares with a maximum amount of 182.19 million shares. The shareholders who do not exercise their rights to buy the new shares will diluted around 6.67 percent.
The bank said, this right issue will get an effective on Sept. 24, 2019. Then the new shares is expecting list in Indonesia Stock Exchange on Oct. 8, 2019 and begin the trading on Oct. 8 to 14.
The proceeds from the rights issue will be used to strengthen the capital structure in supporting the company’s business expansion. This year, the lender owned by tycoon Dato Sri Tahir, plans to raise its capital to Rp3 trillion, which is Rp2 trillion from the rights issue and Rp1 trillion from bonds issuance.
The issuer director Rudy Mulyono said days ago that he was optimistic that loan could grow one digit by the end of this year but the third party funds slightly lower than credit growth.
According to him, Bank Mayapada still has room to boost credit in several segments, especially in micro lending, consumer, and commercial. In the first quarter (1Q) of 2019, the lender still managed to print loans of Rp65.95 trillion, up 11.8 percent in annual basis (YoY).
But the credit growth not help to boost the bank’ profitability. in the 1Q of 2019, the net profit shrank 37.4 percent to Rp142.78 billion.
The bank is optimistic its capital adequacy ratio could rise to 20 percent from its current position at 14.59 percent. The net non-performing loan ratio will be kept below 3 percent. As of March, the net NPL position was at 2.73 percent, up from 2.35 percent in the previous year.
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