PT Trimegah Sekuritas Indonesia Tbk (TRIM) controls 7.60% or 2.36 billion shares of PT Centratama Telekomunikasi Indonesia Tbk (CENT) through a repurchase agreement (repo) transaction worth Rp398.14 billion.

The President Director of Trimegah Sekuritas, Stephanus Turangan, revealed that the repo transaction, which is often called share pawning, between Trimegah Sekuritas and Centratama Telekomunikasi took place on March 4, 2021, and March 10, 2021.

"The transaction is intended for repayment. Share ownership status is direct through reverse repo transactions," said Stephanus in an information disclosure to the Indonesia Stock Exchange (IDX), Tuesday (16/3).

Based on OJK Regulation (POJK) No 04/2014 concerning Guidelines for Repo Using the GMRA Indonesia Annex, a repo is a transaction to sell securities with an agreement to buy back at a predetermined time and price.

A reverse repo is a transaction to buy securities with a promise to sell them back at a predetermined time and price. A reverse repo is the reverse of the repo.

The OJK regulation states, if there is a failure to fulfill obligations (default) on repo and reverse repo transactions, the transaction is categorized as an outright sale and purchase transaction without reducing the obligations of the party that failed to settle its obligations.

Stephanus added, prior to the transaction on March 4, 2021, Centratama Telekomunikasi owned 2.36 billion shares to be repo or 7.60% of the company's total shares.

"After the transaction, Centratama's ownership decreased to 1.71 billion shares with a percentage of 5.50%," he explained.

Then on the March 10, 2021, transaction, Centratama's share ownership became 0% from the original 5.50%. On the other hand, Trimegah Sekuritas owns 7.60% of Centratama Telekomunikasi Indonesia.

Shares that were traded on March 4, 2021, and March 10, 2021, amounted to 654.79 million units and 1.71 billion units of shares, respectively. With a sales price of IDR 168 per share, this means that the reverse repo transaction is worth Rp398.14 billion.

Shareholders of Centratama Telekomunikasi Indonesia as of Monday (15/3), based on data on share ownership of listed companies on the IDX, namely Clover Universal Enterprise Ltd (41.8%), UOB Kay Hian Pte Ltd (38.317%), PT Trimegah Sekuritas Indonesia Tbk (7.60%), and the public (12.27%).

Other shareholders are the company's directors, namely Hartanto Kusmanto 0.03%, Yan Raymond Jafri 0.082%, and Yuana Susatyo (below 0%).