JAKARTA, April 23 Indonesian Internet service
firm PT Dyviacom Intrabumi aims to raise 7 trillion
rupiah ($720.35 million) in a rights issue in June to buy shares
in retailers, as it shifts to a consumer-focused business, it
said in a statement on Tuesday.
The majority of the funds raised from the offering will be
used to buy a 40 percent stake in Indonesia's largest minimarket
operator, PT Indomarco Prismatama, owner of the Indomaret brand,
in a deal seen as a consolidation of assets by Indonesia's Salim
The Salim Group, which is headed by Indonesian billionaire
Anthony Salim, has been on a consolidation mode in recent months
following a $809 million stock and cash deal for its auto firm
PT Indomobil Sukses Internasional in December.
The Jakarta-based company, which has a market capitalisation
of only $11 million, also plans to buy a 35.8 percent stake in
Indonesian retailer PT Fast Food Indonesia, the holder
of the KFC brand in Indonesia, from PT Megah Eraraharja.
Additionally, the firm will buy a 31.5 percent stake in one
of Indonesia's leading breadmakers, PT Nippon Indosari Corpindo
Dyviacom will sell 14 billion new shares in June, which will
cause a 99 percent dilution for existing shareholders if they
don't participate in the plan. PT Terra Konsuma Investama and PT
Buana Capital will act as standby buyers.
The stock exchange suspended Dyviacom's shares on Monday
after the stock rose as much as 142 percent last week.
(Reporting by Fathiya Dahrul, Writing by Janeman Latul; Editing
by Ken Wills)