JAKARTA. PT Bank CIMB Niaga Tbk (BNGA) will carry out additional capital without pre-emptive rights (PMTHMETD) or private placement, by issuing 10.59 million shares.

BNGA management has obtained approval from the Extraordinary General Meeting of Shareholders (GMS) to carry out this corporate action. In a meeting held on Thursday (11/1), shareholders also gave power to the company's management to determine the price of new shares.

Please note, this corporate action was carried out by BNGA in order to comply with the provisions of the Indonesian Stock Exchange (BEI) regarding the number of free float shares. In this provision, the company is required to fulfill the free float share portion of at least 50 million shares or 7.5% of the total registered shares.

"By fulfilling these provisions, the number of CIMB Niaga outstanding shares will increase, thereby increasing the liquidity of CIMB Niaga share trading," said Fransiska Oei, Director of Compliance, Corporate Affairs & Legal CIMB Niaga.

Later, BNGA will use all funds from the private placement to finance business expansion in the form of credit distribution. Including credit distribution for the consumer, corporate, commercial and SME segments. (KR/LM)