Shareholders of publicly listed Bank Dinar have given their approval to sell 77 per cent of the bank’s shares to APRO Financial Co Ltd, a South Korean consumer finance firm. The sale is pegged at Rp 691 billion ($52.35 million).
Hendra Lie, president director of Bank Dinar, said that the shares will mostly come from three major share holders – Nio Yantony, Saiful Amir, and Andre Mirza – who will sell 29.16 per cent, 10.58 per cent and 21.15 per cent, respectively.
“Once the acquisition is completed, APRO will merge Bank Dinar with Bank Andara, 40 per cent of which they bought last year,” said Lie after a recent meeting in Jakarta.
According to the plan, Bank Dinar will continue to exist after the merger and will maintain its status as a publicly-listed company. The bank’s core capital will increase to between Rp 1 trillion and Rp 5 trillion. The new bank then will expand its operations, opening at least six branches this year.
“We believe that the acquisition by APRO will give a positive impact to Bank Dinar’s overall developments. It will strengthen the Indonesian capital market, and increase the bank’s competitiveness,” Lie explained.
Bank Dinar was established in 1990 as Bank Liman, but renamed itself in 2012 before going public in 2014. The bank engages in the retail segment.
Currently, Bank Dinar’s core capital is at Rp 431 billion, with assets of Rp 2.3 trillion as of 2016. Disbursed loans as of December 2016 was Rp 1.3 trillion, with a profit of Rp 17.2 billion. Meanwhile, its non-performing loan (NPL) was maintained at 1.35 per cent.