Global Mediacom seeks $300 mln in unit IPO in Q3-sources

PT Global Mediacom aims to raise about $300 million by selling up to a 30 percent stake in its unit PT MNC Sky Vision, Indonesia's biggest pay TV provider, in an initial public offering in the third quarter, sources with direct knowledge of the deal said on Wednesday.

The firm, part of a media empire owned by Hary Tanoesoedibjo, has appointed UBS and Morgan Stanley as the joint coordinators while PT Danareksa Securities and PT Bhakti Securities have been picked as local underwriters, said the sources, who declined to be identified as the talks were not public.

"The MNC group wants to raise at least $300 million in the IPO but we need to see the demand for it," said one source.

"We will use the March book so it will likely be launched in the third quarter," said another source, adding he expected strong demand as the firm was seen as a proxy for rising consumer spending in Southeast Asia's biggest economy.

MNC Sky Vision is Indonesia's market leader in satellite pay TV, with a 78 percent market share from its two brands Indovision and Top TV, although pay TV market penetration rates are still low. Source: Reuters

Newmont's Indonesia unit to seek $500 mln via IPO - sources

* Listing to value Indonesia unit at about $5 bln - sources
* Newmont to sell 1.128 bln new shares, option for existing shares
* Legal issue regarding share ownership could be an obstacle
 
PT Newmont Nusa Tenggara (NNT), the Indonesian unit of U.S. miner Newmont Mining Corp , is seeking to raise about $500 million in an initial public offering in Jakarta by selling a 10 percent stake within the next twelve months, sources said on Wednesday.

The IPO would mark the first listing by a gold and copper miner on Indonesia's stock exchange, though it could be delayed by legal issues surrounding the planned divestment of another stake to local partners.

"We're looking at a $5 billion valuation for the whole firm," said one of the four sources with knowledge of the deal, who declined to be identified because the details were not public.
Newmont is expected to sell up to 1.128 billion of new shares and may also sell an option of an additional 880 million existing shares owned by local partner PT Pukuafu Indah, the source added.

The firm could raise more than $500 million if it exercises the option.

Although there is no official mandate for underwriters, sources said UBS has been tapped to be one of the lead underwriters and other banks will be added once the firm completes a deal to divest a 7 percent stake to local partners, two sources said.

UBS is also the advisor for the divestment stake sale, a source said.

"What we can confirm to you now is that NNT's intention to do an IPO has been discussed in its previous shareholders meeting and supported by the majority of shareholders," Rubi Purnomo, Newmont's Indonesia spokesman, told Reuters.

"The IPO plan is one of the financing options for NNT to develop the company's operation," he said. "At the moment, we are focusing on finalizing the divestiture obligation."

Newmont and Japan's Sumitomo Corp , the majority owners in NNT, were ordered by an Indonesian arbitration court in 2009 to reduce their holding in NNT to less than 50 percent by selling to local investors.

Newmont and the government have agreed on $271.6 million as a price for the divestment of a final 7 percent stake, after Newmont sold the rest to PT Multi Daerah Bersaing -- a consortium of the governments of West Nusa Tenggara province, West Sumbawa regency, Sumbawa regency and PT Multicapital, a unit of Bumi Resources Minerals.


However a Jakarta court said in late 2010 that PT Pukuafu Indah was entitled to a 31 percent stake, a ruling Newmont is appealing against.

The Indonesia unit of the world's No.2 gold producer runs the Batu Hijau copper and gold mine in West Nusa Tenggara province. Batu Hijau, on eastern Sumbawa island, is the nation's second biggest copper mine.

"It will be one of the biggest IPOs this year and there should be huge demand for it," said Harry Su, head of research at PT Bahana Securities in Jakarta. "It depends on the timing and valuation, but we expect market sentiment to improve in the second half." 

Investors have sold Indonesian stocks this year on worries over inflation and to take profits on a 46 percent rally last year. Still, longer-term sentiment on Southeast Asia's largest economy remains positive because of its resources and growing consumer demand. 

The IPO would come after a strong rally in commodity prices, with gold hitting a record high this week and copper hitting a record last month. Source: Reuters

Bank Rakyat to Sell Up to $500 Million of Debt

PT Bank Rakyat Indonesia plans to sell $300 million to $500 million of subordinated debt in the second half of this year, Achmad Baiquni, a director at Bank Rakyat, told reporters in Jakarta today. Source: Reuters

Indonesia's domestic car sales in Feb up 24.8 pct y/y

Indonesia's total domestic car sales, an indicator of consumer demand in Southeast Asia's biggest economy, were 69,489 units in February, up 24.8 percent from the same month last year, automotive association data showed on Tuesday.

However, domestic car sales in February declined 5.8 percent from January's 73,761 units. 
Sales volumes in February were led by Toyota as usual, though Mitsubishi displaced Daihatsu for the second spot, according to the Indonesian Automotive Association (Gaikindo) data.
The country's largest automotive distributor Astra International has said it expects car sales volumes of 800,000 units this year. Source: Reuters

Indonesia's weather agency says dry season to start May-June

* Palm oil, rubber, coffee areas in Sumatra to have drier weather in May
* Dry season in coal-producing Kalimantan to start in June
* Tin-producing Bangka island still to have rains until June


Indonesia's dry season will start in most areas around May-June, earlier than the previous forecast of July and offering a timely boost to the country's agricultural and mineral sectors, the weather bureau said on Tuesday.

The dry season normally runs from April to Sept/Oct, but the country is in the middle of a wetter-than-expected rainy season that has affected plantation crops and could hit resource exploitation.

"The dry season will start in 65 zones in May, while 68 zones or 30.9 percent will enter the dry season in June," Sri Woro, head of the Climatology, Meteorology and Geophysics Agency (BMKG), told a news conference.

Indonesia's sprawling archipelago is divided into 220 weather zones.The agency in January forecast Indonesia would have rains until June, and that the dry season would not start in most areas until July.


Areas that will start the dry season in May include Riau, north Sumatra and Jambi, Indonesia's key palm oil- and rubber- producing areas, the agency said.

Indonesia is the world's top producer of palm oil and world's second largest producer of rubber. Robusta coffee-growing area of Lampung and key cocoa-growing area of South Sulawesi will also start the dry season in May, which will be in time for the main cocoa and coffee harvest season.

The drier weather will help coffee cherries to ripe and prevent spread of black pods in cocoa.

Indonesia expected coffee output to fall by 30 percent this year as prolonged rains in Sumatra have caused coffee flowers and young cherries to rot, the Indonesia Coffee Exporters Association said.

Cocoa production in the world's third largest producer after Ivory Coast and Ghana, was also expected to fall slightly this year as the wet weather has worsened attack of pests and disease.
The dry weather will expand to more areas in June, including Kalimantan, Indonesia's main source of coal on Borneo island.

The main tin-producing Bangka-Belitung islands will not have drier weather until July. Rains hit productivity last year at smaller coal miners such as Bayan Resources and reduced 2010 tin output from the world's top exporter of the metal. 

The price of silvery, malleable metal -- used for soldering electronic goods and packaging -- has seen prices soar to a record $32,799 a tonne in mid-February on concern of tight supplies from Indonesia. 

Tin price has eased to below $30,000 a tonne this week, but has gained 11.5 percent so far this year.

Source: Reuters

Indonesia's Visi Media Plans IPO Later This Year - Official

PT Visi Media Asia, or Viva, will offer shares to the public later this year to raise funds for business expansion, its Chief Executive Officer Anindya Bakrie said Tuesday.

Bakrie said the owner of two local channels Anteve and TV One and online news portal Viva News has appointed Credit Suisse, PT Danatama Sekuritas and PT Ciptadana Sekuritas as joint lead underwriters for the planned initial public offering. 

According to a banker familiar with the deal, Viva will likely sell up to 40% of its stake to raise around $1 trillion ($114 million).

The Bakrie Group owns a 92.5% stake in Viva, and Star TV the remaining balance. Source: Automated trader

Rekomendasi HD Capital, 9 Maret 2011

Hari ini, Rabu 9 Maret 2011, HD Capital merekomendasikan empat saham pilihannya untuk dibeli, yakni PT Tambang Batubara Bukit Asam (PTBA), Astra International (ASII), Bumi Resources (BUMI), dan Krakatau Stell (KRAS).

BUY: (PTBA, ASII, BUMI, KRAS)

* Koreksi akibat imbas regional Dow Jones yang memerah tidak mempunyai efek banyak terhadap tren keseluruhan IHSG yang tetap berhasil ditutup diatas MA-

* IHSG close (08-01) 3.564.732(+4.076/+0.18%) (Val.Rp.3.4T)

* Support: 3.530-3.470-3.360, Resistance: 3,580-3,630-3,750

Stock picks:

1. Bukit Asam (PTBA): (BUY) (target: Rp 21.100) (close 08/03 Rp 20.450)

* Outlook harga minyak dan batubara yang diperkirakan terus mengalami peningkatan dan proyek rel kereta api ganda rampung di 2012 mendongkrak PTBA keluar dari trading range untuk mengalami proses uptrend recovery dengan misi mengetes moving average 50-harian di Rp 21.100.

* Indikator stochastic dan MACD harian sudah memberikan "BUY" signal dengan konfirmasi dari volume yang lebih tinggi dari 8 hari sebelumnya.

* Entry (1) Rp 20.400, Entry (2) Rp 20.100, Cut loss point: Rp 19.800

2. Astra International (ASII) (BUY): (Target: Rp 57.200) (Close 08/03 Rp 55.200)

* Efek dari pajak progressive untuk level daerah yang berjalan lamban tidak akan berpengaruh banyak terhadap tren penjualan mobil kedepan sehingga proyeksi laba 2011F sebesar Rp 13,8 triliun dapat tercapai

* Riset fundamental HD capital mempunyai target 12-bulan di Rp 80.000 dengan asumsi PER 2011 15x dan profit 2010F sebesar Rp 12,5 triliun (hasil kinerja profit 2010 actual: Rp 14,4 triliun).

* Entry (1) Rp 55.200, Entry (2) Rp 54.900, Cut loss point: Rp 54.100

3. Bumi Resources (BUMI) (BUY): (Target: Rp 3.150) (Close 08/03 Rp 3.025)

* Sentimen negatif dari proses transaksi saham Vallar di bawah harga pasar kelihatannya sudah tercermin dalam koreksi pasar.

* Pasar sekarang melihat ke sinergi alliansi BUMI-Vallar dalam proses mengurangi utang sebesar $100 juta dimana pengurangan beban utang dan bunga akan sangat membantu dari segi laba.

* Secara technical ma 10 & 50 hari memberikan signal beli dengan upside menuju Rp 3.150.

*

Entry: (1) Rp 3.000, Entry (2) Rp 2.900, Cut loss point: Rp 2.850

4. Krakatau Steel (KRAS) (BUY) (Target: Rp 1.190) (close 08/03 Rp 1.130)

* Harga baja diperkirakan naik 30% untuk offset meningkatnya biaya produksi akibat kenaikan energy batubara dan mulai pulihnya permintaan dari industry mobil dan konstruksi.

* Secara technical penutupan diatas 5-days MA (Rp.1.100) cukup baik untuk confirm signal buy dari daily stochastic dan MACD

* Entry (1) Rp 1.120, Entry (2) Rp 1.080, Cut loss point: Rp 1.060

Dibuat oleh:

Yuganur Wijanarko

Senior Research HD Capital (Yuganur@hdx.co.id)