JAKARTA: Its symbol is Garuda, the winged steed of Vishnu in Hindu mythology, but Garuda Indonesia's fortunes more closely resemble the Phoenix, which rose from the flames to fly again. This, at least, will be the story Indonesia's national carrier takes to potential investors this week as it touts its initial public offering (IPO) around Hong Kong, London and New York. Its scheduled listing on Feb. 11 may raise up to 10.3 trillion rupiah ($1.1 billion) through the sale of 9.32 billion shares, or 36 percent of its capital, at between 750 and 1,100 rupiah each. At that scale it is likely to be the biggest listing on the Indonesian share market – which soared 46 percent last year – in 2011 and one of the largest in what is expected to be a busy year for underwriters across Asia. Under the stewardship of former banker Emirsyah Satar, the airline has fixed the safety concerns that saw it banned, along with every other Indonesian airline, from European skies in 2007. The ban was lifted in 2009 and Garuda is now hoping to cash in on investors' appetite for emerging market assets to pay off some of its debts and fund an aggressive expansion strategy. “We will use the funds from the IPO to expand our fleet, and some of them will be used to expand our subsidiaries,” Satar said. – Agence France
