Perusahaan Gas (PGAS IJ) update: SSWJ pipelines have been completed and PLN will start taking gas from end August 08, stake sale may not happen this year. Visibility improves, and there is room for upside on our analyst's numbers. Separately, the House may block govtʼs plan to sell stakes in Perusahaan Gas (PGAS IJ). The govt was planning to sell additional shares in PGAS that they got from the debt to equity conversion. The plan may be postponed to 2009, due to weak market condition. Government project loan amount is about 127.43bn rupiah and Implied conversion price/share is about Rp100. So total dilutive shares is 1274mn shares or 5.59% of the total outstanding shares. PGAS: SSWJ pipelines have been completed. Visibility improves, and there is room for upside on our analyst's numbers.
