PT Dua Satu Tiga Puluh (DSTP) which will fund the engineering development and construction planning of the jet aircraft N-2130, produced by PT Industri Pesawat Terbang Nasional (IPTN) will reach the breakeven point when 326 aircraft units are produced in the year 2013.
This was disclosed by the Chief Director of PT DSTP, Saadillah Mursjid, disclosing listing of his company before officials of the Capital Market Supervisory Body (Bapepam) on Thursday (6/2) in Jakarta.
The exposure was chaired by the Chairman of Bapepam, IPG Ary Suta, and also attended by the commissioner of PT DSTP, former Vice President Soedharmono SH. The presence of the DSTP management formation was to comply with a condition for a public company intending to offer its shares to the public.
According to Saadillah, the feasibility study for this project will be finalized in 1997 and the aircraft configuration will be ready in 1999. Design of the aircraft will commence in 2001, prototype production and roll-out will be ready in 2002 including certification, while maidenflight is scheduled for 2002-2003. Commercial phase will commence in the year 2005.
Responding to questions, Saadillah Mursjid said that a formulation had to be looked for, so that the general public in the districts would clearly understand longterm investment when buying DSTP shares, compared to other public companies.
He explained that after production starts, DSTP will receive royalties from the sale of each aircraft, and these royalties will of course be owned by the shareholders.
Mutual help
For development, production and certification of the N-2130 aircraft after the feasibility study, funds amounting to 2 billion US dollars will be needed. With that large amount needed, PT DSTP offers its shares to the public as one source of funds.
It was stated that from the outset it had been explained that the project was one of mutual help in character. Because it was part of long term development strategy, DSTP was founded to support the implementation of strategic industrial transformation through a stage of mastery and application of technology in all fields of national life, by involving the whole community including those in the far reaches of the fatherland.
PT DSTP will offer 1,174,398 shares. Series B registered shares with nominal value of Rp 2,300,00 will be floated at Rp 2,400,000 per share. The remainder of 400,000 series B will have their nominal value split into 460 sight shares of Rp 5,000 floated at Rp 5,500 per split share.
This will be a continual evergreen offering until the year 2006. The company is scheduled to issue a brief prospectus in the newspapers from 24 to 28 February and will undertake public exposure on 17 February, as well as a road show to all provinces.
Saadillah said that there is no restriction on the purchase of split shares by the public. But should a buyer acquire 460 split shares, these may be exchanged with one regular share.
Meanwhile, another director, Giri Suseno Hadihardjono said that the company targets to obtain Rp 600 billion in funds this year from sales of shares. He said that 391,000 shares with a value of about Rp 900 billion have already been sold up to now.
It was explained that for the time being, selling of PT DSTP shares is done only domestically and to Indonesians. But the possibility nevertheless exists for shares to be sold to foreign investors.
Some foreign investment institutions have already expressed their interest in buying the company's shares. There are also already prospective buyers for the N-2130 aircraft.
Up to this moment the management of PT DSTP has no plans yet to list their shares at the Jakarta and Surabaia stock exchanges. But that stock buy-and-sell mechanism in the hands of the public is being thought about.
Yozua Makes of Makes & Partner, legal counsel to PT DSTP, said that they, with the emittor (PT DSTP) and the Bapepam, were thinking about that mechanism, in order not to trespass on prevailing regulations, both the laws on limited companies and the laws on the capital market.
Yozua added that this offering of shares is rather unique, because it ia an evergreen offering and its shares can be split into sight shares. Its assets are fund participation and the company has no daughter companies. Its relation to PT IPTN is in the form of a contract agreement.
The public accountant stated the opinion that the revenue of the company at present originates from clearing services and deposits interest. It has adequate equity, so no matters are present to hinder its growth. The public accountant issued an unqualified opinion regarding this company.(*)