Even though losses from derivative transaction will no longer occur this year, we believe the year 2009 will remain tough due to lower loan growth, lower fee based income and possible deterioration of asset quality. Meanwhile, the bank’s plan to hold rights issue is plausible, in our view. Extrapolating weighted PER post rights issue at 9.9x based on rights issue size of Rp4.25tn, we arrived at Rp3,000/share as our new target price post rights issue. Maintain buy.
No dilution from the rights issue. BDMN plans to hold a rights issue in the near term. Assuming the rights issue will be used to retire the bank’s US$300mn subdebt and to increase its stakes at Adira Finance (despite gloomy outlook for multifinance companies this year, we believe the decision to acquire additional stakes at ADMF to be strategic considering its 35.6% CAGR net profit growth for 2004-2008 and its 35%-40% contribution to the bank’s earnings), we estimate additional earnings of Rp331bn for BDMN from the rights issue. Further, our calculation shows that the weighted PER post rights issue us! ing the c urrent share price (8.5x and 8.9x) is still below PER using our previous TP of Rp3,300/share (9.9x). Extrapolating weighted PER post rights issue at 9.9x based on rights issue size of Rp4.25tn, we arrived at Rp3,000/share as our new target price post rights issue. Maintain buy.
Tidak ada komentar:
Posting Komentar