Multipolar Owned by Conglomerate Mochtar Riady Wants to "Rights Issue" 3 Billion Shares, Wants to Raise IDR 1.08 Trillion in Funds

Ilustrasi. (Foto: Dok. Antara)

JAKARTA - PT Multipolar Tbk (MLPL) will hold an additional capital with Pre-emptive Rights (HMETD) VII or rights issue. The multi-sector investment company from the Lippo Group owned by conglomerate Mochtar Riady will release 3 billion class C shares with a nominal value of IDR 100 per share.

In Multipolar's official statement, quoted on Tuesday 19 October, the action will be realized immediately after obtaining shareholder approval at the Extraordinary General Meeting of Shareholders (EGMS) to be held on November 24, 2021. After obtaining approval, management will submit a registration statement to the Financial Services Authority (OJK).

PMHMETD VII is estimated to be realized in the first quarter of 2022. Meanwhile, the company's shareholders who do not exercise their Preemptive Rights and do not take their share of new shares will be diluted by a maximum of 17.01 percent

Multipolar's management has not yet announced the price of the rights issue offered to investors. However, using the benchmark price for Monday, October 18 trading, which is at the level of IDR 360 per share, the total funds obtained by Multipolar are around IDR 1.08 trillion.

The entire net proceeds obtained from the rights issue will be used by the company to pay off a portion of bank loans and for business development and/or investment.

For information, Multipolar managed to record a net profit of IDR 371 billion from the parent entity in the first semester of 2021, up 250 percent compared to the first semester of 2020 which was only IDR 106 billion.

Meanwhile, net profit for the first six months of this year reached IDR 104 billion, compared to a net loss of IDR 352 billion in the first half of 2020.