Fast Food postpones its rights issue plan
JAKARTA. PT Fast Food Indonesia Tbk (FAST) postponed its rights issue plan due to the coronavirus (COVID-19) pandemic. The funds obtained from the rights issue will be used for expansion.
Director of Fast Food Indonesia, Justinus Dalimin Juwono, explained that in addition to postponing rights issue, his party also reduced non-urgent expenditure in order to reduce costs.
The owner of the KFC franchise in Indonesia previously planned a rights issue in April by issuing up to 350 million shares. The rights issue funds will be used to open 20 new KFC Box and 5 KFC restaurants and renovating 150 existing ones.
However, with the emergence of the COVID-19 pandemic, FAST postponed the plan and closed down 100 of its restaurants to reduce the spread of the virus. (AM/AR)