Shrimp producer Central Proteinaprima will be delisted from the Indonesia Stock Exchange if it fails to settle its $325 million debt restructure within six months, a director at the bourse said on Friday.
The shrimp producer known as CP Prima sold $325 million in bonds through a subsidiary, Blue Ocean Resources, in 2007, due to mature on June 28, 2012. The company, which has been booking losses after its farms were devastated by a virus in 2009, has failed to pay the coupon for its bonds since that year.
“If they pass that deadline, then they will get the sanction of forced delisting. Their shares have been suspended since June 29, 2010,” said Hoesen, a director at the exchange known as the IDX.
A lawyer representing the CP Prima said the company would be able to restructure its debts by May 2013. He added that the company has proposed a debt restructuring scheme to creditors that will extend the tenor to 2020.
Apart from CP Prima, there are six other listed companies under the thread of forced delisting by the IDX: textile company Panasia Filament Inti, plastic maker Siwani Makmur, coal miner Indo Setu Bara Resources, energy firm Amstelco Indonesia, real estate and property developer Panca Wiratama Sakti and shipping company Berlian Laju Tanker.
Share trading in most has long been suspended. The futures of the companies are considered uncertainty and their financial performance weak. “Delisting can happen if there is no update of good developments in their businesses in the first half of 2013,” Hoesen said.
Last year, the IDX delisted four companies: developer Suryainti Permata, chicken breeder Multibreeder Adirama Indonesia, telecommunications engineering services company Katarina Utama and footwear maker Surya Intrindo Makmur.
In related news, the IDX plans to increase the fines for the late submission of financial reports of listed companies. Currently, the fine is only Rp 25 million ($2,590) for submissions up to 90 days late.
“Many companies are late in filing their financial report. The new fine is still being discussed,” he said.
Hoesen said there are five listed companies that have not reported their third quarter financial result.
In 2012, there were 23 new listed companies, compared to 25 a year earlier. In 2012, these companies raised Rp 10.36 trillion in total proceeds from their initial public offerings. New listers included cigarette maker Wismilak Inti Makmur and state builder Waskita Karya.
