It is a big deal and risky."Jakarta (ANTARA News) - State Enterprises minister Dahlan Iskan has said state-owned banks can buy shares of Mutiara Bank if the price is right and the transaction causes no issues in the future.
"If the price offered by the Deposit Insurance Corporation (LPS) is cheap, it is not impossible (for the state-owned banks to buy them)," he stated after a leadership meeting in his office, here on Thursday.
However, he also advised the banks to consider the risks inherent in the transaction.
If a state-owned bank is interested in buying shares of the Mutiara Bank it can start negotiations, but what is important is that the decision must be made after a thorough study, he said.
"I have no directives for the state-owned banks. It is a big deal and risky. If the price is low and the prospect is good, just go ahead," he added.
Previously, it had been reported that Mutiara Bank shares will be sold for Rp6.7 trillion, which is equal to the amount used to bail out the bank when it was facing collapse during the economic crisis of 2008.
According to the bailout package, Mutiara Bank in 2014 or six years after its bailout could sell its shares at the best price possible.
Minister Dahlan said the boards of director of state-owned banks, such as Bank BRI, Bank BNI and Mandiri, had expressed their interest in buying shares of the Mutiara Bank.
"Some directors have told me about that during a chat. The decision, however, is up to them," he said.
As for funds, he said the state-owned banks have large liquidity, while their managerial capability is unquestionable.
"They (board members) are smart, even smarter than me. So they must know Mutiara Bank better," he said.
(Reporting by Royke Sinaga/R017/H-YH/INE/F001)
Editor: Priyambodo RH
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