Bank of India to conduct a rights issue of 1.65 billion shares
JAKARTA. PT Bank of India Indonesia Tbk (BSWD) plans to raise its capital through a rights issue of 1.65 billion shares at most. It is intended to solidify its capital structure and enhance its credit portfolio.
In the information disclosure in Indonesia Stock Exchange today (4/2), the management will ask for approval during the Extraordinary General Shareholders Meeting scheduled for March 16, 2022, for this corporate action.
The company will submit the registration to the Financial Services Authority (OJK) right after the rights issue plan receives the green light from the shareholders. It is certainly under the condition that the time frame between the shareholders’ approval and the effective statement from OJK does not exceed 12 months. The management estimated that by conducting this rights issue, the authorised capital would rise to IDR 2.4 trillion.
The management also explained that the entire proceeds gained from the rights issue, after deducting the emission fees, will be utilised to strengthen the capital structure and credit expansion. (AM/ZH)