Adhi Karya to increase stake in Jakarta Monorail project

Jakarta (ANTARA News) - PT Adhi Karya will increase its stake in the Jakarta Monorail (JM) project from 7.65 percent to 21.83 percent gradually, a company executive said.

"JM will issue new shares. Adhi Karya will purchase in stages 250,000 shares each having a nominal value of US$100," Kurnardi Gularso, Adhi Karya`s corporate secretary, told the Jakarta Stock Exchange here Thursday.

PT Adhi Karya would thus raise the value of its investment in JM by US$ 25 million to buy 25,000 shares, he said.

PT Adhi Karya would pay $15 million to purchase JM shares in the first stage after the Jakarta Monorail company obtains a guarantee from a financial institution.

The remaining $10 million would be paid in the second phase, Kurnardi said.

The stake of ITC which currently controls 91.02 percent of JM shares would eventually drop to 12.82 percent as ITC was not taking part in the purchase of JM`s additional shares.