NISP Bank Danamon to distribute Rp766.3bn of dividend (BDMN, Rp5,650)

• Bank Danamon will distribute Rp766.3bn as dividend or equal to Rp90.97/share with a dividend payout ratio of 50%. This plan has been approved by the shareholders in the bank’s AGM yesterday.

• Shareholders also appointed Mr. Henry Ho as a president director, replacing Sebastian Paredes. Mr. Henry Ho, formerly president of Bank International Indonesia (BNII, Rp305), resigned in 2009 after Malayan Banking Bhd acquired controlling stakes on Danamon from Temasek.

• BDMN is trading at 2010F consensus PER of 17.0x and PBV of 2.7x.