CIMB Group eyes on listing in Indonesia: Banking market to expanded in Vietnam and Cambodia

Saturday, 08/05/2010 00:00 WIB

CIMB Group eyes on listing in Indonesia: Banking market to expanded in Vietnam and Cambodia

Irvin Avriano A.

Bisnis Indonesia

KUALA LUMPUR: CIMB Group Holdings Bhd, the holding of PT Bank CIMB Niaga Tbk, plans for listing its stocks in Indonesia for the second chance in a bid to increase the market capitalization as from the current US$15 billion.

CEO of CIMB Group Nazir Razak said the plan will be materialized after the Capital Market and Financial Institution Supervisory Agency (Bapepam-LK) deliberate regulation on foreign company stock listing.

"We want Indonesia community to have opportunity to have stocks of the holding company of CIMB Niaga. So, there are two options for investment," he said yesterday.

However, he said the business entity here has not yet addressed their proposal to the Indonesia capital market authority in this line as it still waits for the dual listing regulation which will be deliberated.

Nazir ensures after the deliberation of dual listing regulation of foreign company, the company will promptly list their stocks at the Indonesia Stock Exchange (IDX).

Along with the stock listing in Indonesia, CIMB Group has never planned to upgrade the composition of public shareholder of CIMB Niaga from the current portion of only 2 percent.

"We are not currently focusing on CIMB Niaga rights issue despite the less liquid stocks at market. We prefer our own stock listing of CIMB Group in Indonesia due to the great potential."

Besides, the company also plans to have stock listing in Thailand to collect capital for the CIMB Group that still waits for the deliberation of dual listing regulation in that country.

The shareholder of Bank CIMB Niaga currently consists of CIMB Group with 78.3 percent possession, Kha-zanah Na-sional 28.4 percent, and public 2 percent.

CIMB Group also plans to possess banking industry in ASEAN by 2015 by expanding market to Vietnam and Cambodia.

"We are still waiting for license from their authority and government. Once the license is deliberated, we will directly build our business there."

CIMB Niaga that contributed 20 percent of the holding company revenue here targets to contribute 40 percent of the business group revenue by 2015 or larger than the business of the holding in Malaysia.

Meanwhile the corporate business in Malaysia will contribute under 40 percent, then followed by that of in Singapore, Thailand, and other countries.

President Director of CIMB Niaga Arwin Rasyid added the company is finalizing subdebt issuance worth IDR1.5-2 trillion. (Bisnis/iaa)