JAKARTA - PT Indo Straits Tbk (PTIS) allocated Rp 1.95 billion to conduct the management employee stock allocation (MESOP). The approval for the plan will be decided on the extraordinary general shareholders meeting (RUPSLB) on January 11, 2019.
Based on the company's information disclosure, the management will buy 8,655,000 shares or 1.5% of the paid-up capital. Meanwhile, the price of the buyback is Rp 225 per share and this stock will be recorded as treasury stock. Based on the company's prospectus, the company released 10 million MESOP shares on 12 July 2011. This program is made for the employees who resigned and employees who resigned but did not repay their loan on the MESOP program.
In the third quarter of 2018, the company recorded an earning of Rp 1.78 per share. This corporate action did not give any impact to the decrease in the revenue. However, the company has taken financing cost at 5.75% that used to finance all the company's activities. The buyback will become a limit for five work days. (LK/AR)