The Conglomerate Prajogo Pangestu Sells 'A Little' Of His Share Ownership In Barito Pacific Worth IDR 707 Billion, This Is His Goal

Prajogo Pangestu conglomerate. (Photo: Instagram @forbesindonesia)

JAKARTA - One of the richest people in Indonesia, Prajogo Pangestu, sold 831.900.500 shares of PT Barito Pacific Tbk (BRPT) so that the share ownership portion in the company was reduced even though it was still the majority.

Director and Corporate Secretary of Barito Pacific Diana Arsiyanti said the sale made by Prajogo as President Commissioner of BRPT was priced at IDR 850 per share. Thus, the number of shares sold by the 4th richest person in Indonesia reached IDR 707.12 billion.

Prior to the transaction, Prajogo's shares in Barito Pacific reached 66.909.078.570 shares (71.65 percent). As for after the sale, the shares of the 77-year-old entrepreneur decreased to 66.077.178.070 shares (70.75 percent).

"The transaction will be carried out on May 31, 2021, at a price of IDR 850 per share", Diana wrote in her letter to the Indonesia Stock Exchange (IDX), quoted on Wednesday, June 9.

The purpose of the sale transaction is to release shares in order to add free float shares (minimum public shares) on the IDX.

Currently, the portion of public share ownership in Barito is actually above 7.5 percent, aka the minimum free float, public investors hold 29.25% of BRPT's shares.

The sale at IDR 850 is lower than the closing price of BRPT's shares on Tuesday, June 8 trading at IDR 855 per share.

For information, Prajogo has sold his stake in BRPT several times. On December 4, 2018, he released 800 million shares or equivalent to 4.497 percent of shares to the public.

The action was carried out on December 4, 2018 with a transaction value of IDR 1.37 trillion, released at a price of IDR 1.720 per share.

On April 11, 2019, Prajogo again decided to release his 350 million shares in BRPT with the reason to increase the number of shares outstanding in the public (free float).

The number of shares that Prajogo sold was priced at IDR 3.500 per share, so that at that time, Prajogo received IDR 1.23 trillion in funds.

Prajogo is the 404th richest person in the world. In Indonesia, he occupies the third position, behind the Hartono Brothers and Sri Pakash Lohia.

Prajogo's wealth, according to Forbes, reached USD 6.3 billion or approximately IDR 90 trillion as of Tuesday, April 20, 2021.