PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
All capital stock issued by the Company Series A and Series B shares are common stock. The changes in capital stock of the Company are as follows:
Total Paid-in
Shares Capital
Balance as of January 1, 2013 6,235,933,276
1,321,718 Additional issuance of capital stock from the conversion of
series IV warrants 1,875,441
187 Balance as of December 31, 2013 and 2014
6,237,808,717 1,321,905
Capital Management
The primary objective of the Group’ capital management is to ensure that it maintains healthy capital ratios in order to support its business and maximize shareholder value. The Group is not
required to meet any capital requirement.
The Group manages its capital structure and makes adjustment in light of changes in economic conditions. The Group monitors its capital using gearing ratio debt to equity ratio, by dividing
net debt to capital. The Group’s policy is to maintain the gearing ratio within the range of gearing ratios of the other companies with similar industry in Indonesia. Net debt is calculated as total
borrowings including short-term and long-term less cash and cash in banks. Total capital is calculated as equity attributable to the Company’s stockholders as shown in the consolidated
statement of financial position. Ratio of net debt to equity as of December 31, 2014 and 2013 are as follows:
2014 2013
Deposits and deposits from other banks 17,165,314
13,607,470 Loans received
573,837 714,895
Securities issued 1,293,454
1,290,904 Cash and cash in banks
2,637,727 2,599,638
Total - net 16,394,878
13,013,631 Total equity
12,784,236 11,573,049
The ratio of net loans and debt to equity 128.24
112.45
35. Additional Paid-in Capital - Net
This account consist of additional paid-in capital and equity stock issuance cost as of December 31, 2014 and 2013. Details of this account follows:
Additional paid-in capital 813,642
Difference in value arising from restructuring transactions among entities under common control
93,484 Equity stock issuance cost
3,137 Total
903,989
- 98 -
PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
The changes in additional paid-in capital follows:
Jumlah Balance as of January 1, 2013
903,239 Additional issuance of capital stock from the conversion of
Series IV warrants 750
Balance as of December 31, 2014 and 2013 903,989
a. Additional paid-in capital consist of:
Initial public offering 78,000
Limited public offering I 165,750
Limited public offering III 24,783
Conversion of Series I warrants 49,372
Conversion of Series III warrants 396,353
Conversion of Series IV warrants 175,884
Conversion to capital stock 76,500
Total 813,642
b. Equity stock issuance cost incurred on Limited Public Offering II, III and IV, amounted to
Rp 904, Rp 1,060, and Rp 1,173, respectively. c.
Difference in Value Arising from Restructuring Transactions Among Entities Under Common Control
In December 2006, the Company increased its investment in AJSM amounting to Rp 15,000. The increase in investment resulted to an increase in ownership interest of the
Company in AJSM from 50.00 to 73.08, since the other stockholders, namely PT Sinarindo Gerbangmas SG and PT Sinar Mas Tunggal SMT both companies are
owned by Sinar Mas Group did not increase their investments. Difference between the transfer price and book value of restructuring transactions among entities under common
control amounting to Rp 46,028 was recorded in additional paid-in capital account.
In December 2007, the Company increased its investment in AJSM amounting to Rp 20,000. The increase in investment resulted to an increase in ownership interest of the
Company in AJSM from 73.08 to 83.33, since SG and SMT did not increase their investments. Difference between the transfer price and book value of restructuring
transactions among entities under common control amounting to Rp 47,475 was recorded in additional paid-in capital account.
In 2012, 2011, 2010, 2009 and 2008, the Company increased its investment in JTUM amounting to Rp 25,000, Rp 25,000, Rp 15,000, Rp 20,000 and Rp 8,000, respectively. The
increase in investment resulted to an increase in ownership interest of the Company in JTUM to 99.93 in 2011, 99.90 in 2010, 99.86 in 2009, 99.67 in 2008, since the other
stockholders, PT Kalibesar Raya Utama, a company owned by Sinar Mas Group, did not increase their investments. Difference between the transfer price and book value of
restructuring transactions among entities under common control amounting to nil, Rp 1, Rp 1, Rp 7 and Rp 10, respectively, was recorded in additional paid-in capital account.
The balance of additional paid-in capital from the above transactions as of December 31, 2014 and 2013 amounted to Rp 93,484.
- 99 -
