(Insider Stories) - Indonesia hospital operators, PT  Siloam International Hospitals Tbk, subsidiary of Lippo Group, aims to raise up to Rp 2.31 trillion from offering 162.75 million shares or equal with 14% of enlarged capital. The company set the IPO's indicative prices Rp 11,200 to Rp 14,200 per share or 79 to 100 times of 2014's price earning ratios.

Director of PT Ciptadana Sekuritas John Herry Teja said, earnings of Siloam expect will reach US$16.5 million in 2014. His optimist investors will subscribed the IPO because healtcare industry in Indonesia is attractive and promising.

Healthcare spending estimate will reach US$59 billion or 4.4% of the total GDP by 2018 from US$27 billion or equal 3.1% of the total GDP.

He added, if the IPO's oversubscribed Siloam put  over allotment option as much as 14.3% of total offering or 23,25 million shares worth up to Rp 330 billion.

Underwriter for the IPO are PT Credit Suisse Securities Indonesia, PT Ciptadana Securities and Global selling agents Credit Suisse with Goldman Sachs.

Siloam plaans to have over than 40 hospitals in five years from now they have 14 hospitals all over Indonesia and have bed capacity from 3,400 to 10,000 units

Dana IPO akan digunakan utk ekspansi, akuisisi RS, operator RS/healthcare company dan debt refinancing

Siloam's president director Gerschu C Paul said, with this expansion their revenues in thir year will grow up to 49% from US$180 million in 2012. To reach that target the units of PT Lippo Karawaci (LPKR.JK) spend Rp 1.5 trillions for expansion.