Indonesia's Niaga, Lippo shares down after merger plan

JAKARTA, Dec 28 (Reuters) - Shares of Indonesia's PT Bank Niaga (BNGA.JK) and Bank Lippo LPBN.JK dropped 1.1 percent in opening trade on Friday after the announcement of a plan to merge both banks.

Lippo said late on Thursday Malaysian state investment arm Khazanah Nasional Bhd, which controls both banks, planned to merge the banks to meet Indonesia's central bank's regulations. (Reporting by Muhamad Al Azhari, editing by Sugita Katyal)