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ukaka Teknik Utama, an infrastructure-focused company, formally returned to the Indonesian Stock Exchange (IDX), on Monday nine years after delisting its shares from the bourse.

Bukaka president Irsal Kamarudin said in Jakarta that now was the right moment for Bukaka to relist its shares on the local stock market, because by doing so, the company would have easier access to funding to finance its business.

With the return to the stock market, the company would be able to better tap into the infrastructure development, which was one of the government'€™s main development priorities, Irsal said, adding that the company expected it would be able to participate in the mega power plant projects that are expected to provide additional power generation of 35,000 megawatts (MW).

Bukaka listed 2.64 billion shares, with a nominal value of Rp 338 (3 US cents) each. The company'€™s shares traded under the BUKK code and closed at Rp 885.

'€œOne of the main reasons to relist the shares is to acquire new funding options to support short-term, mid-term, and long-term plans,'€ said Irsal after the relisting of the shares.

At the same occasion, IDX president director Tito Sulistio called on Bukaka to improve its transparency and corporate governance in accordance with the capital market principles.

'€œBeing transparent is very important so that investors will have trust in the company,'€ Tito said.

Irsal said that the company was currently involved in several big projects including the construction of a nickel smelter with a capacity of 2,760 tons per year. The construction of the smelter, which is being built on a 50-hectare site in Palopo, Sulawesi, is estimated to cost about Rp 400 billion.

Bukaka was delisted in the bourse in 2006 for being unable to settle its foreign debts and failing to submit an audited financial report.

With the comeback, Bukaka becomes the second company to have returned to the bourse this year after gas distributor Mitra Energi Persada relisted in May.
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'€œOne of the main reasons to relist the shares is to acquire new funding options to support short-term, mid-term, and long-term plans.'€

Bukaka, affiliated with the Kalla Group, the family business of Vice President Jusuf Kalla, is engaged in construction and engineering activities. It operates nine business units that produce steel towers, steel bridges, passenger boarding bridges, road construction equipment, oil and gas equipment and special purpose vehicles and is engaged in power generation, galvanizing and offshore maintenance and services.

It is also a parent company of Bukaka Mandiri Sejahtera, Bukaka Energi, and Bukaka Forging Industries which, respectively, concentrate on nickel mining, processing and trading, electrification and automotive component manufacturing.

Bukaka is 42.6 percent owned by Denaya Cakra Cipta, 46.6 percent by Armadeus Acquisitions (INR) Ltd., and 10.8 percent by the public.

The company'€™s revenues rose by 6.8 percent year-on-year to Rp 1.41 trillion last year, while its net profits rose 20.6 percent to Rp 98.3 billion. (agn)