PT Benakat Petroleum Energy Tbk (BBP) offers a prime shares earlier this year with a target to raise at least USD 1 trillion. Revenue funds from the sale of shares and warrants will be used for investment and working capital.
PT Benakat Petroleum is an energy company in Indonesia with a focus on increasing value through upstream oil and gas development and mining of various commodities coupled with engineering services, procurement and construction (EPC).
Benakat management along with managing underwriters emission shares have agreed to offer as much as 11.5 billion of new shares to the public offering price range of USD 120-USD 140 per share, in which for all the issued shares of warrants attached to as many as 6.5 billion in warrants.
Thus, the target acquisition IPO funds will be obtained a minimum of Rp 1 trillion for the ownership share of 38.34 percent. PT Danatama Makmur acting as underwriters managing the stock of emissions with the full capability of the entire issued shares. If the excess demand, then the party examine the possibility of removing Benakat additional same again.
According to President Director Benakat Wiguna Arifin, in a press conference on Wednesday (27 / 1), the Jak arta, income from the sale of fund shares and warrants will be used for investment and working capital, among others for the construction of oil and gas production facilities, coal, and stone manganese. The fund is also for the purchase of supporting equipment pr oduksi, and maximize return on the invested value.
Due Dilligence Meeting (DDM) and the public exposure made with Danatama Benakat as part of the initial offering period in the process of IPO shares, which performed to explore the initial interest from prospective investors both retail and institutional want any prospective underwriter of shares. Initial bidding process lasted from January 19 until January 28, 2010, with a target stock listing on the Stock Exchange is planned for Indonesia February 11, 2010.
We are optimistic Benakat IPO will get a positive response from various groups of investors both domestic and international. This can be seen from the positive response we got during the roadshows in several countries including Singapore and Hong Kong we have done, said Steffen Fang, Vice President of Investment Banking of PT Danatama Makmur.
Steffen added that oil and gas sector is believed to still be a prima donna and the mainstay of investment and has a bright prospect in line with national economic growth is conducive. This will encourage companies to get a regular cash flow and be one of the attractions for potential investors.
One of the maximum potential energy sources affiliated companies owned by PT Western Petroleum Benakat who has been working with PT Pertamina EP through cooperation contract to manage operations ar ea Benakat oil field operations West, Prabumulih, South Sumatra Province, the oil production areas of oil field operations West Benakat current average of 2000 barrels per day which will be increased to be 4000 barrels per day by the end of 2010.
Vice President Director Benakat M Suluhuddin Noor, said, since the takeover of management of the operating area of the West Benakat by BBP, BBP has increased production from the 77 existing production wells, from about 1,500 barrels of oil per day to about 2,000 barrels of oil per day within 6 months. Based on its development plan, PT BBP estimates of oil production more than 25 million barrels for a period of 15 years.
