PT Pembangunan Deltamas, the Indonesian industrial parks operator, is seeking to raise nearly US$250 million through an initial public offer scheduled for the third quarter of 2013. This is in accordance with its financing plan and was confirmed by three different sources with direct knowlesge of the transaction who spoke on condition of anonymity.
Deltamas is controlled by the largest conglomerate in the country, Sinarmas Group. The company is seeking to sell off between 20% and 25% shareholdings of its capitalization.
According to one of the sources, "Demand for property from Indonesian middle-class citizens are huge and the company needs huge capital to fund its business plan."
The demand for both residential and commercial property have been increasing in the past three years with mortgage loan interest kept low as well as lending rates in record lows as directed by the country's central bank.
Currently, Deltamas manages nearly 2,900 hectares of residential, indusrial, business and other public areas in the Bekasi regency in the province of West Java.
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