Jakarta - PT Ramayana Lestari Sentosa Tbk (RALS) plans to buy back 360 million shares, or 5% of the company's paid-in capital.

Based on the company's information disclosure on Thursday (7/21), the cost for the share buyback is Rp200 billion.

The company reasoned that the plan was carried out because Ramayana recorded a profit for the 2021 financial year, and the directors had managed to maintain adequate liquidity, so the company intends to increase shareholder value through the implementation of the plan.

Approval of the plan will give the company greater flexibility in managing capital to achieve a more efficient capital structure.

After the plan is realized, the total assets of Ramayana will be reduced to Rp4,885 trillion, equity will increase to Rp3,396 trillion, and the number of outstanding shares will also be reduced to 5.914 billion shares.

ROA and ROE will increase to 3.49% from 3.35% and 5.02% from 4.74%, respective