BSD settles on Rp 760 per share for rights offer

Real estate developer Bumi Serpong Damai (BSD) has settled on a price for its planned Rp 4.99 trillion rights issue at Rp 760 a share, the company said in a statement published Tuesday.

The price is in the middle range of its previously set price range of between Rp 600 and Rp 900 a share. As a comparison, BSD shares (BSDE) were traded at Rp 930 apiece on Monday’s close.

BSD will release 6.56 billion new shares in the offering, with affiliated Sinarmas Sekuritas and Singapore’s Macquarie Capital acting as standby buyers for the rights offer, which will take place at the beginning of December.

“About 87 percent of the proceeds will be used to fund the acquisition of publicly listed Duta Pertiwi, privately held Sinar Mas Wisesa and Sinar Mas Teladan,” the company’s previous statement shows.

BSDE slumped following the rights issue announcement, to close at Rp 890 apiece at noon on Tuesday, a 4.3 percent, or 40 points, slump compared to the opening. (est)