Perusahaan Gas Negara In Line With Higher E&P Contribution
PGAS’ 2Q14 core profit of USD201m (+11.3% q-o-q, 23.5% y-o-y) brought 1H14 core profit to USD381m (+2.6% y-o-y), making up 49% of our FY14 estimate of USD786m (+5.4% y-o-y). Higher contribution from its E&P segment led to a higher margin mix in 2Q14, resulting in a 21.4% q-o-q growth in 2Q14 operating profit and a.
Read More...PTBA’s IPP to operate in 4Q14
PT Tambang Batubara Bukit Asam (PTBA IJ, BUY) is ready to operate its 2×110 MW Independent Power Producer (IPP) by 4Q14. Management stated that the IPP will be able to absorb 1.4m tonnes of coal. Another IPP that will be commercialized next is the 2×620 MW Banko Tengah IPP, it is expected to operate in.
Read More...Perusahaan Gas Negara In Line, more exposure from E&P segment
2Q14 core profit reached USD201m (+11.3% q-o-q, 23.5% y-o-y), bringing 1H14 core profit to USD381m (+2.6% y-o-y), contributing 49% to our FY14 core profit estimate of USD786m (+5.4% y-o-y). PGAS’ riskier profile from higher contribution from its E&P business segment contributes higher margin mix, bringing 2Q14 operating profit hiked 21.4% q-o-q with higher 33% blended.
Read More...Holcim to Distribute Interim Dividend IDR34 per Share
PT Holcim Indonesia (SMCB IJ, Not Rated) will distribute interim dividend of IDR260.5bn or IDR34/share (1.2% yield). The dividend will be paid in October 2014 with cum date set on 19 September. Currently, the company is adding 1.7m tonnes of production capacity to the current Tuban mill #2. The additional capacity is targeted to start.
Read More...SSIA is Seeking USD126m of Loan
PT Surya Semesta Internusa (SSIA IJ, Neutral, TP: IDR1,025) is seeking external loan of USD126m in order to fund the development of SSI Tower in Jakarta. The external fund will be around 70% of the total investment of USD180m. The company intends to combine USD& IDR based loan to achieve the best cost of fund..
Read More...Medco expand its overseas operation
Medco Energi Internasional (unrated) has expanded its oil and gas operation to Tunisia through the acquisition of Storm Ventures International (Barbados) Ltd from Chinook Energy Inc (listed on Toronto stock exchange). The transaction is now complete while Medco has gotten approval from the Tunisian government and several oil and gas exploration association of the country.
Read More...Telkom is expanding to Middle East
PT Telekomunikasi Indonesia (TLKM IJ, BUY, TP: IDR3,200) is planning to expand to the Middle East by finding a strategic partner. The company will start in the Middle east with Mobile Virtual Network Operator (MVNO). Management also stated that the investment funds will be not taken from this year’s capex but rather from the company’s.
Read More...PTPP to Build Precast Factory
Management of PT Pembangunan Perumahan (PTPP IJ, Under Review) has announced that the company will build precast production facilities through subsidiary PT PP Pracetak. The investment will be around IDR200bn. The facilities will be built in Cilegon (West Java), Sadang (West Java), and Bakauhuni (Sumatera). Management expect the construction period will take about 2 years..
Read More...Steel Pipe Industry Indonesia’s Ace In Steel Pipes
We initiate coverage on Spindo with a DCF-derived TP of IDR370 which represents a 100% potential return upside and recommend a BUY. Our TP implies a 7.0x FY15F earnings. Main triggers: i) its dominance in the domestic steel pipe market with a 30% share; ii) the company being a beneficiary of the nation’s growing gas.
Read More...Telkom to expand to Silicon Valley
PT Telekomunikasi Indonesia (TLKM IJ, BUY, TP: IDR3,200) intends to expand its business to Silicon Valley, USA by collaborating with venture capitals such as Fenox Venture Capital. Fenox will act as mentor and mediator in the Corporate Venture Capital (CVC). TLKM will have to invest USD200m in gradual with USD25m as the initial investment phase..
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