JAKARTA (Bisnis):

PT Aneka Tambang Tbk (Antam) planned to increased the issuance of its Eurobonds to USR250 million from the initial plan of US$150 million. "They talk about the option to increase the value of the Eurobonds to US$250 million to anticipate if the negotiation with PT Pembangkit Listrik Jawa Bali (PJB) fails to meet a deal," he told Bisnis Indonesia yesterday. PJB was the unit of state owned PT PLN.

Today the company was negotiating with Antam to develop power plant for the plant of Ferronickel III. If the negotiation succeeded, he said, PJB would develop the power plant, financed by the state owned Bank Mandiri. But if the negotiation failed, he added, Antam would develop a power plant on its own. Regarding this, the company had to maximize the financing of the project.

Investor Relation of Antam failed to confirm the news. "I just can tell you that we are preparing the financing scheme of FeNi III project. We can not comment on the bonds," said Eko Kurniawan of the investor relation department of Antam. Bisnis Indonesia source said that in developing the smelter project of FeNI III Antam would prepare US$150 million from the bond, US$80 million from internal cash and maximum USR150 million from Bank Mandiri.

The project needed US$230 million with the assumption that PJB would develop the power plant. The source said that under the new option the project need an investment of US$400 million. Under the new option, he said, the company would issue US$250 million Eurobonds to finance the project.

"To support the option the management of Antam will continue to ask for loan from Bank Mandiri," he said. Antam had appointed ABN Amro to underwrite the issuance of the Eurobond. The state owned company would conduct a road show by the end of this month to offer the bonds that would be listed in Singapore Stock Exchange. (wiw)

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JAKARTA (Bisnis): Indonesian Bank Restructuring Agency planned to sell 20% shares of Bank Danamon on a block sale on July 31. Syafruddin Temenggung, the chairman of IBRA, said that many investors had showed their commitment to buy the shares. "We are sure that the price is good. We are in the process of book building,"' he said yesterday.

He added that the price of the shares in this block sale was IDR1,202 per share, or just the same with the price at the strategic sale of 51% shares of the bank. IBRA would sell the shares at the block of 0.5% shares to 5%. Today IBRA still hold 47% shares of Bank Danamon. The agency would sell 15% of the shares through block sale and another 5% in drip sale. But IBRA would limit the drip sale to avoid the price crash of Danamon shares. IBRA got IDR2.7 billion from the drip sale.

On the next program IBRA would sell 20% shares of Bank Niaga also on a block sale. IBRA hold 48% shares of Bank Niaga after the agency sold 51% shares of the bank at the price of IDR3.02 trillion. The data obtained by Bisnis Indonesia showed that IBRA would place the rest 28.35% shares of Danamon to the IBRA's holding company of shares.

The total value of the shares was IDR1.319 trillion. The holding company would hold 8.56% shares of BCA (with the book value of IDR985 billion), 22.69% of BII (IDR675.43 billion), 25.06% shares of Bank Niaga (IDR369.92 billion) and 97.67% shares of Bank Permata (IDR1.13 trillion). Temenggung said that next August and September the agency would sell the shares of BII and Bank Lippo. But he said that the agency would not sell the shares of Bank Permata because the bank was just restructured.

Financial Advisor Temenggung also said that IBRA had appointed a financial advisor in the sale of 51% shares of Bank Lippo. Previously I Nyoman Sender, the deputy chairman of IBRA, said that some international securities had submitted their proposal to be the advisor of IBRA in selling the shares of Bank Lippo. Among the securities were Citicorp, UBS Warburg, Credit Lyonnais, Morgan Stanley and Crosby.

"Next week IBRA also would appoint the financial advisor for the divestment of 71% shares of BII." At least nine securities are interested to be the financial advisor for this process. Among the nine securities were UBS Warburg, Credit Suisse First Boston, ING Securities, ABN Amro Securities, Merrill Lynch, Capital, Mandiri Sekuritas and Bahana Securities. (mmh/wiw)

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