JAKARTA. PT Matahari Putra Prima Tbk (MPPA), a retail company owned by the Lippo Group, has set an exercise price for its rights issue shares at IDR 80 per share.

With this price fixing, MPPA has the potential to reap fresh funds of up to IDR 550.02 billion from the rights issue. In this corporate action, the number of new shares to be issued by the company is 6.87 billion shares. This is slightly lower than the initial rights issue announcement, which was 8 billion shares.

PT Multipolar Tbk (MLPL) as the main shareholder of MPPA, has stated its willingness to take part in all of the new shares that become its rights. In addition, MPPA will also be a standby buyer for the remaining shares that are not subscribed by other investors.

MLPL currently controls 57.87% of MPPA shares, according to data from idnfinancials.com. BNYM Re Consilium Frontier Equity Fund owns 5.19% shares, PT GoTo Gojek Tokopedia Tbk (GOTO) owns 4.15% shares, and public investors own 32.79% shares.

According to an official statement received by idnfinancials.com, MPPA plans to use IDR 150 billion from the rights issue proceeds to pay part of the debt to PT Bank Negara Indonesia (Persero) Tbk (BBNI) and PT Bank CIMB Niaga Tbk (BNGA). Then the rest will be used for the company's working capital needs. (KR/LM)