PLN to decide IPO plan in third quarter this year

State owned electricity company PLN has not yet decided which of its two main subsidiaries - PT Indonesia Power and PT Pembangkit Jawa Bali - to go public this year, Bisnis Indonesia reported on Tuesday.

PLN's president director Eddie Widiono said in Jakarta on Monday that both companies were equally excellent but PLN needed to choose which one that would be more prepared to carry out an initial public offering.

"We will focus on the initial public offering (IPO) on the third quarter of this year," he was quoted as saying. He said that during the planned IPO, PLN's subsidiary would sell between 20 percent and 30 percent of its shares to the public.

PT Indonesia Power (IP), which operates power plants with combined capacity of up to 7,332 megawatt, is the largest power producer in the country. PT Pembangkit Jawa Bali (PJB), which operates power plants with total capacity of 6,492 megawatt, is the second largest.

The two companies have been listed in PLN's IPO plan, in addition to its other subsidiary PT Comnet Plus. According to existing schedules, IP and PJB will carry out its IPO plan in the second semester of this year, while PPT Comnet in the second semester of next year. (*)