Jakarta Setiabudi boosts ownership in Cikini Realty

Property and hotel developer PT Jakarta Setiabudi Internasional Tbk said on Wednesday that it has purchased new shares issued by its unit PT Hotel Cikini Realty worth Rp 16.7 billion that will lead to a rise of its shares in the company 99.58% from 99.02% previously.

Cikini Realty is the operator of Hotel Formule 1 hotel chain. Cikini Realty will use Rp 9.2 billion of the funds to repay debts to Bank CIMB Niaga. The other shareholder of Cikini Realty is PT Metropolitan Realty International, which holds the remainder 0.42%.

Jakarta Setiabudi said the capital injection to Cikini Realty is aimed at supporting the unit’s business expansion and operation. It also said that the capital injection has also been approved by its creditors, i.e. PT Bank OCBC Nisp Tbk and PT Bank OCBC Indonesia. (Roffie)

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