JAKARTA. JP Morgan Singapore and UOB Kay Hian Pte Ltd are prepared to absorb shares from PT Surya Esa Perkasa Tbk's (ESSA) private placement, which amounts to 10% of its placed and paid-up capital.
The company, which is owned by entrepreneurs T.P. Rachmat and Garibaldi "Boy" Thohir, will issue 1.43 billion new shares with a nominal value of Rp 10 per share, said the company in a prospectus.
Through the corporate action, JP Morgan Singapore will own a 4.04% stake or 635,632,184 shares in ESSA, while UOB will own a 0.51% stake or 80,459,770 shares.
In the prospectus, ESSA said proceeds from the private placement will be used to up its investment in its subsidiary PT Panca Amara Utama and as working capital.
Furthermore, the company's management said that the corporate action will strengthen its capital structure by lowering its debt to equity ratio (DER), which will indicate a strong financial condition with added values for its performance. (AM/MS)