MBSS expects to raise Rp 408 billion from IPO

Indonesia?s top coal vessel provider PT Mitrabahtera Segara Sejati (MBSS) will offer 215 million new shares or about 12.3 percent of its enlarged shares during its initial public offering (IPO) to be launched this month.

The company?s president director Patricia Pratiwi said in Jakarta on Tuesday that the shares would be sold at between Rp 1,500 and Rp 1,900 per share. With such a price assumption, the company expected to raise between Rp 322.5 billion (1 US$ = Rp 8,812) and Rp 408.5 billion from the IPO.

The fresh funds will be around 30-40 percent from the company?s total expenditure of Rp 1 trillion this year

Patricia said that proceeds from the IPO would be used to buy between 20 and 30 of new tugs & barges and floating cranes, with a capacity of between 1,200 and 2,800 horse power of tug boats, barges with a capacity of 270 and 365 feet and floating cranes, with a capacity of between 20,000 and 45,000 tons a day.

Indonesia-listed energy and contractor firm PT Indika Energy Tbk has option with the company?s key shareholders to acquire 51 percent of MBSS? shares after IPO.

The company operates sets of tugs and barges and transhippers including Ben Glory, Princesse Abby, Princesse Rachel and FC Nicholas, all with maximum loading rate capacity of between 24,000-26,000 tonnes per day.

According to the prospectus, the four floating cranes loaded 10.6 million tonnes of coal in the nine month of 2010 with revenue of Rp. 159 billion or around US$18 million.

The company has long-term loading contract with Kalimantan coal miners such as PT Kaltim Prima Coal, PT Adaro Indonesia, PT Berau Coal and PT Kideco Jaya Agung. (kanti)