Reliance to switch IDR100 billion portfolio

Senin, 19/10/2009 00:00 WIB
Reliance to switch IDR100 billion portfolio

BOGOR: PT Reliance Securities Tbk will ask for the shareholders' permission to switch their IDR100 billion's worth investment portfolio to shares in companies in the banking sector.

Therefore, the company will hold a Shareholders' General Meeting (RUPS/rapat umum pemegang saham) on November 10, 2009.

President Director of Reliance Securities Orias Petrus Moedak revealed the company intended to switch their investment funds.

"Most of our investments in shares have realized profit since early this year," he told the press last weekend.

He said the company viewed shares in the banking sector would still be potential to give huge returns in the long term.

However, Orias declined to mention the names of the banks whose shares Reliance planned to buy or to mention the names of the companies from which the investments would be switched.

The company has shares in several companies, such as PT Kawasan Industri Jababeka Tbk and PT Sentul City Tbk (PT Bukit Sentul Tbk).

According to him, the company had asked the the Capital Market and Financial Institution Supervisory Agency's (Bapepam-LK) about the necessity of RUPS to get permission.

The capital market authorities, he added, indicated there was no need to hold RUPS. Nevertheless, the company still wanted to hold the meeting to maintain good relations with its shareholders.

The company until the third quarter of 2009 was able to increase its amount of cash balance to IDR120 billion.

In addition to switch investment portfolio, the company also plans to ask for its shareholders' permission to issue bonds worth IDR125 billion this year.

The amount of fund will be allocated to grow online trading that the company has developed since last year.

Orias said the company hoped the bond could be underwritten by PT Danareksa Sekuritas and PT Victoria Securities. He explained the two securities companies once underwrote Reliance Securities' IPO.

The company just planted 400 trees on 1 hectare of land at Gunung Gede-Pangrango National Park that donated part of the sale of retail T-bonds (ORI/obligasi negara ritel) series 006. The company sold the debt securities worth around of Rp170 billion.(Bisnis/21)