REPUBLIKA.CO.ID, JAKARTA -- State-owned pawn company PT Pegadaian said it hopes the process of spinning off its sharia business unit could be wrapped up in April 2015).

"Preparations have been made. We are awaiting only the approval of the Financial Service Authority (OJK)," the finance director of the state-owned pawn company, Dwi Agus Pramudya, said here on Tuesday.

Dwi said the preparation for the spin off has been in process since last year starting with the appointment of a business consultant , law consultant and accountant.

"Internally the process is already wrapped up based on the procedure . The shareholders have given the go ahead," he said.

In line with the directives given by the shareholders and the Sharia Supervisory Council, Pegadaian is expected to increase the sharia business capacity from 13 percent of the corporation total business at present, he said.

He did not say figure for the amount of capital to be placed at the sharia subsidiary.

According to regulation, a sharia business unit is to have a capital of at least Rp100 billion.

"We have yet to determine the capital . It could be more than Rp100 billion," Dwi said.

He said currently the sharia unit of Pegadaian has productive assets worth Rp3 trillion - Rp5 trillion .

"It is expected after the spin-off , the contribution of the sharia operation would increase to 25 percent after five years," he said.

He predicted that in 2015, PT Pegadaian could chalk up Rp9 trillion in income or an increase of 15 percent from estimated income of Rp8 trillion in 2014.

At the same time , the net profit of the company is expected to reach Rp1.75 trillion in 2015 or an increase of 10 percent from Rp1.6 trillion in 2014.

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