PT Graha Layar Prima Tbk (BLTZ) is conducting the first limited public offering (LPO I) with target proceeds of Rp660,3 billion. Assuming that no shareholder would exercise their rights in this LPO, CJ CGV Co. Ltd. will take the second position as Blitz’s controlling shareholder after PT Persada screen.
The LPO’s standby buyer, CJ CGV Co. Ltd, is a company managing the largest cinema chain in South Korea. Its network reaches China, Vietnam and even the United States. Recently CJ has also acquired the largest cinema chain in Turkey, namely Mars Cinema with a transaction value of US$687 million or Rp9.5 trillion.
CJ currently has a 14.75% stake in BLTZ, or a total of 49.82 million shares. If no investor will exercise their rights, then the ownership of CJ will amount to 149.12 million shares, or 34%. This is only slightly smaller than the share of the founding shareholders, namely PT Layar Persada, which amounted to 162.89 million or 37%.
With greater control, CJ is expected to be able to turn Blitz into a profitable company with a greater strategic value to other shareholders.
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