TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Bakrieland spends Rp 3.1t on acquisition
Publicly listed developer Bakrieland Development announced Thursday that it would take over shares of PT Mutiara Masyhur Sejahtera (MMS), formerly owned by PT Minarak Labuan Indonesia, in a Rp 3
Change Size
P
ublicly listed developer Bakrieland Development announced Thursday that it would take over shares of PT Mutiara Masyhur Sejahtera (MMS), formerly owned by PT Minarak Labuan Indonesia, in a Rp 3.1 trillion (US$260 million) deal.
In a published prospectus, Bakrieland said it had signed an agreement on June 30 to acquire 750,000 MMS shares, which brings the company's ownership in the developer to 99.21 percent.
MMS operates 500 hectares of land in Sidoarjo, East Java, which Bakrieland says will be developed into a superblock.
The transaction is considered big for Bakrieland, which is owned by politically wired business tycoon Aburizal Bakrie, given the company used its December book for the acquisition.
As of December, the company had Rp 140.45 billion in cash and cash equivalents and Rp 1.08 trillion in inventory.
The company's liabilities stood at Rp 5.13 trillion and total assets were Rp 12.3 trillion. The company booked Rp 232.23 billion in net losses last year, an improvement from its Rp 1.1 trillion losses in 2012.
Minarak Labuan, meanwhile, was closely associated to Bakrie's Lapindo Brantas, which was considered responsible for the high-profile Sidoarjo mud disaster.
