Foreign Investors Still Interested in Bukopin

Jakarta-
PT Bank Bukopin CEO Glen Glenardi said foreign investors are still attracted to Bank Bukopin to be their strategic investor. The plan is being delayed due to the economic downturn. "They are still biding their time," Glen said in Jakarta yesterday.

Bukopin also said it was continuing with its rights issue plans, scheduled to take place during the first semester of 2009. The company will offer 20 – 30 percent of its share to the current shareholders in order to support Bukopin's business and to add the capital sufficiency ratio which is currently at 11 percent.

According to Glen, Bukopin's rights issue was supposed to happen in 2008, targeting earnings of about Rp800 billion to Rp1 trillion. However, the unsupportive market situation forced them to cancel the plan. This year, Bukopin has targeted funds from third parties fund to increase by 20 – 30 percent from last year's Rp27 trillion.

Besides the rights issue, Bukopin will also launch 30 micro- financial institutions in February 2009. These institutions are intended to counsel small and medium-scale businesses through cooperation with the community or through partnerships. 29th January 2009 By Tempo Interactive