PGN’s 2001 financial report will be audited again
Friday, October 24 2003 - 03:24 AM WIB
The same report was already audited by Arthur Andersen and the audit result was not accepted due to the black listing of Arthur Andersen following its alleged involvement in Enron case in the U.S.
Further, the audit will be repeated in order to fulfill the requirement as laid down under the Regulation S and 144A. It will strengthen PGN ‘s position during the IPO process.
“Because, we are going to offer our (PGN) shares to foreign investors ant it will be in line with the Regulation S and 144A. We have to ask E&Y to audit it again because the earlier result of Arthur Andersen’s audit was not accepted,” PGN’s president director W.M.P. Simanjuntak told Bisnis on Thursday in Jakarta.
Due to this audit problem, the listing of PGN shares on Jakarta Stock Exchange was postponed to December 12 from November 21,2003, Simanjuntak said.
He expects that the new audit will be finished by November 3, 2003.
There will not be any problem with the PGN’s 2002 financial report as it has been audited by the state and government auditing agencies BPKP and BPK, who gave their consent.
The gas utility company plans to raise up to Rp 3.6 trillion or about US$400 million from the sales of its 30 percent stake through an initial public offering (IPO). It also plans to issue another dollar bond of around $100 million to $150 million next year. But the amount will depend on the success of its IPO. In addition, PGN has also prepared another $100 million from its internal sources.
PGN needs huge amount of investment to complete several gas pipeline projects like Grissik-Pagar Dewa in South Sumatra, Duri (Riau)-Belawan (North Sumatra) pipelines and another pipeline from Riau to Singapore. (*)