The Jakarta Composite index rose 0.4 percent to 3,918.69.
Banks: Bank Indonesia’s plan to impose bank ownership caps will hurt the nation’s ability to tap regional banking funds to build infrastructure and may fragment the industry, the Straits Times reported, citing Piyush Gupta, chief executive officer of DBS Group Holdings Ltd., which plans to acquire PT Bank Danamon Indonesia (BDMN) . Danamon gained 1.9 percent to 5,300 rupiah and PT Bank Central Asia (BBCA) , Indonesia’s biggest bank by market value, was unchanged at 7,250 rupiah.
PT Bank Tabungan Negara (BBTN) : The lender plans to sell 2 trillion rupiah ($211 million) of 10-year bonds on May 30 and May 31, according to a statement published in Investor Daily Indonesia today. Proceeds from the sale will be used to fund lending. Bank Tabungan rose 0.8 percent to 1,250 rupiah.
PT Semen Gresik (SMGR) : Indonesia’s biggest cement maker expects revenue to rise 14 percent this year from 16.4 trillion rupiah in 2011, Bisnis Indonesia reported, citing Finance Director Ahyanizzaman. Production may increase to 24 million tons this year from 20 million tons last year, the report said. Semen Gresik gained 0.5 percent to 11,000 rupiah.
To contact the reporter on this story: Berni Moestafa in Jakarta at firstname.lastname@example.org
To contact the editor responsible for this story: Darren Boey at email@example.com