Indonesia's Excelcom says aims for rights issue in Q2

Reuters, Tue Mar 17, 2009 8:05am EDT  

JAKARTA, March 17 (Reuters) - Indonesia's third-largest mobile phone operator, PT Excelcomindo Pratama Tbk (EXCL.JK), said on Tuesday it is considering a rights issue in the second quarter to help finance its capital expenditure. 

"The rights issue is expected in the second quarter but details will be decided during the shareholders meeting on Thursday," Hasnul Suhaimi, the president director, told reporters. 

The firm said on Sept. 3 it may sell between 10-15 percent of its share capital to the public. But it has not released further details, while the Indonesian market has been hit by the global financial crisis. 

The company has said it wants to spend about $600-$700 million on capital expenditure this year, compared with 14 trillion rupiah ($1.17 billion) in 2008. 

Suhaimi also the firm is aiming to reach 30 million subscribers this year, up from 26 million in 2008 when subscriber growth was 68 percent. 

Malaysia's TM International (TMIT.KL) controls 83.79 percent of Excelcom while Emirates Telecommunications Corp (ETEL.AD) holds a 15.97 percent stake in the Indonesian company. ($1= 11,965 rupiah) (Reporting by Andreas Ismar; Editing by Sara Webb)