PT MNC Investama Tbk (BHIT) plans to hold a rights issue

RIGHTS ISSUE - JAKARTA. PT MNC Investama Tbk (BHIT) plans to hold a rights issue. BHIT will release a maximum of 17.57 billion shares, with a nominal value of Rp 100 per share.

This plan requires the approval of the Extraordinary General Meeting of Shareholders (EGMS) which will take place on April 26, 2019.

Information disclosure on the Indonesia Stock Exchange (IDX) website said BHIT would use the proceeds from the rights issue to increase working capital and pay debts to Caravaggio Holdings Limited and New Ascend, each valued at Rp 832.11 billion and Rp 750.63 billion. Thus BHIT debt will also decrease by Rp 1.58 trillion.

If shareholders do not exercise their rights, Caravaggio Holdings Limited and New Ascend will become standby buyers and transfer their respective receivables as shares.

After the rights issue, BHIT's total issued and fully paid-up capital will increase to 70.28 billion shares from the previous 62.28 shares.

Shareholders who do not execute their rights by purchasing new shares will dilute at a maximum of 25%.