WSKT - Buy backs Jasamarga Semarang Batang shares

Waskita Toll Road (WTR), a subsidiary of Waskita Karya (WSKT), has exercised the share buyback option of Jasamarga Semarang Batang (JSB) with total repurchased shares of 1.66 bn shares or equal to 39.77% of the issued and paid-up capital of JSB. Around 826.31 mn shares or 19.77% of JSB's shares were purchased from Reksa Dana Penyertaan Terbatas (RDPT) SAM Jalan Tol. The remaining 835.73 mn shares, or 20%, were bought from Sarana Multi Infrastruktur (SMI). After this repurchase, WTR will divest its entire stake in JSB to Kings Bless Ltd. that already prepaid around IDR3.6 tn payment for this transaction. (Source: Bisnis Indonesia) Comment: We view this as a positive progress for WSKT continuing its capital recycle initiatives in Waskita Toll Road. While missing the initial target of 5 toll roads divestment this year, we believe the divestment plan will remain intact next year.