The shares would be offered at Rp225 to Rp300 each, Alkindo Naratama President Director Herwanto Sutanto said here on Tuesday.
Alkindo expected to raise Rp33 billion to Rp45 billion in funds from the IPO, he said.
The company planned to use Rp5 billion of the funds to repay its debts to Bank OCB NISP and Bank Danamon, Rp11 billion to buy land for its head office and plants and the rest to strengthen working capital, he said.
He expressed hope that the shares could be traded at the Indonesia Stock Exchange (BEI) starting on July 12.
Alkindo posted a net profit of Rp3.6 billion last year. "We have set the target of net profit for 2011 at Rp11 billion which will result among others from a 20 percent increase in production capacity," he said.
Last year, the company had a production capacity of 3,000 tons which came from its two plants located at Cimareme industrial complex, Padalarang, Bandung district, West Java.
(Uu.S012/HAJM/B003)
Editor: Priyambodo RH
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