Kapuas Prima Coal, a mineral mining company, will offer 550 million shares or 20.79 percent of the issued and fully paid capital in an initial public offering (IPO). The company is targeting IDR 66 billion to IDR 93.5 billion from the corporate action with a stock price range of IDR 120 to IDR 170.
Hardjanto Widjaja, President Director of Kapuas Prima, said that the company will use the proceeds for capital expenditure and working capital of mining exploration and infrastructure development. “The proceeds will provide a stronger financial capability and support a more solid business development strategy in the future,” said Hardjanto.
In the IPO, the company will also issue 500 million new shares in the implementation of mandatory convertible bond (MCB) worth IDR 70 billion. The book building process takes place on September 26 to 28, 2017. The company estimates that its shares can be listed on October 6, 2017. The underwriter is Erdikha Sekuritas.
Kapuas has a mining concession covering an area of 5,569 hectares in Desa Bintang Mengalih, Lamandau District, Central Kalimantan. As of April 30, 2017, the company recorded revenue amounting to IDR 107 billion and net profit amounting to IDR 3 billion. (*)