ASII – To takes over 50-hectare land in Tangerang

Astra Land Indonesia has acquired a tract of land of 50 hectares in Cikupa, Tangerang, through one of its subsidiaries, Lazuli Karya Sarana.The land used to belong to Delta Mega Persada, a subsidiary of Alam Sutera Realty (ASRI). The initial phase of the signing of the Sale and Purchase Deed has been completed earlier. Astra Land will launch its latest residential project. This project will be carried out by a joint venture that is established alongside Hong Kong Land. (Source : IDN Financials). Comment: We like Astra plan to develop another property project following its previous portfolio in Anandamaya (Sudirman area), Asya (Jakarta Garden City area), dan Arumaya (TB Simatupang area). Despite making only small contribution to ASII revenue, the project could strengthen ASII position as new player in the property landscape competition. Maintain our Buy call for ASII with TP of IDR7,350/share (10.2X 2023F P/E)