PT Bank IBK Indonesia Tbk plans to conduct a limited public offering III (LPO III) or Pre-emptive Rights by issuing a maximum of 7.283 billion shares.

Based on a brief prospectus published on Monday (15/3), this LPO III price is Rp170 per share. Thus, the company will get funds of around Rp1.238 trillion.

Funds obtained from LPO III will be used entirely for additional bank working capital or lending.

As the company's main shareholder, Industrial Bank of Korea (IBK) stated that it would exercise part of its rights to purchase the new shares offered in this LPO III. IBK would buy up to a total of Rp999,999,992,490 or 5,882,352,897 shares.

The current shareholders who do not exercise their rights will experience a dilution in their shares' percentage by 39.35%.

Meanwhile, the implementation schedule is the Extraordinary General Meeting of Shareholders' approval on January 18, 2021, the effective registration statement April 30, 2021, the date of Cum Pre-emptive Rights in the regular market negotiation market April 10 and 20,  respectively. The Ex Pre-emptive Rights date in the regular market and the negotiating market on May 11 and 21, respectively. Distribution of Pre-emptive Rights, May 21 21, listing on the IDX May 24, the date of allotment and refund of excess order monies on June 9 and 10 June, respectively.