Chandra Asri hopes to raise Rp 6.15t via rights issue

IDX-listed petrochemical company PT Chandra Asri Petrochemical Tbk plans to launch rights issue in July in the hope to raise around Rp 6.15 trillion in proceeds.

According to company prospectus, the company plans to issue 279.74 million new shares, or 7.85 percent of issued capital, at a price range of Rp 18,000-Rp 22,000 per share, about 18 percent discount from the Friday?s closing price of Rp 27,050 on the IDX. The company obtained on May 2 approval from shareholders for the planned rights issue, hopefully to be conducted on July 26-31 (cum rights) and July 27-August 1 (ex-rights), and listing on the IDX on August 2.

Proceeds from the rights issue will help finance expansion programs.

Chandra Asri said earlier it will embark on a feasibility study (FS) to construct and operate a second integrated petrochemical complex in Indonesia which will be located adjacent to its existing integrated petrochemical complex at Cilegon, in Banten Province.

Editing by Reiner Simanjuntak