off-the-wire

UPDATE 1-Indonesia's Pertamina geothermal unit targets raising as much as $652 mln in IPO

Kitco Media
By Reuters
Published:
Updated:
Reuters
(Adds details) JAKARTA, Feb 1 (Reuters) - Indonesia's Pertamina Geothermal Energy, a unit of state energy company Pertamina, plans to offer as much as 25% of its stake in an initial public offering this month to raise a maximum 9.78 trillion rupiah ($652.00 million) in proceeds. The shares would be offered at 820 rupiah to 945 rupiah a piece, the company said in a prospectus on Wednesday and book building would be launched on the same day. The public offering is scheduled for Feb. 20-22. CSLA Sekuritas Indonesia, Credit Suisse Sekuritas Indonesia, and Mandiri Sekuritas were hired as underwriters.


Most of the proceeds from the share sale is expected to be invested into capacity expansions of its working geothermal areas, the prospectus said.


Pertamina's chief executive last year said the company aimed to


double its geothermal capacity by around 2027-2028 , which may cost an estimated $4 billion.


Indonesia is keen to tap into its geothermal resources amid efforts to cut energy imports and reduce carbon emissions.


($1 = 15,000.0000 rupiah) (Reporting by Fransiska Nangoy Editing by Ed Davies)

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.