Jakarta (ANTARA News) - Firdaus Djaelani, chief executive of the Deposit Insurance Agency (LPS), said several investors from Asia were seriously considering to buy Bank Mutiara or former Bank Century.

"Several of them have shown serious interest and have come three times to enquire about Bank Mutiara," he said at a press conference.

LPS became Bank Mutiara`s sole majority shareholder after the agency provided the funds needed to prevent ailing Bank Century from collapsing. After the bailout, the bank was renamed Bank Mutiara.

However, Firdaus said, none of the interested investors had so far filed a letter of intent. "They are still talking. But I am optimistic the bank can be sold," he said.

The government has given LPS three years` time and the possibility of extending the period by another two years to sell the bank to recoup the bailout funds totalling Rp6.7 trillion.

"We will sell it for Rp6.7 trillion within five years but if we fail we will sell it for the best possible price," he said.

The president director of Bank Mutiara, Maryono, said he also believed the bank could be sold at the targeted price.

He assumed the bank`s net price would reach an average Rp250 billion per year and so, within five years, a total of Rp1.250 trillion would have been collected. "Since the LPS took it over, the bank`s net profit will not be spent on dividends," he said.

With the value of the bank`s assets recorded at around Rp500 billion based on four times their book value, Rp7 trillion would be a reasonable selling price for the bank, he said.

Some 99.996 percent of the bank`s shares are now held by the LPS with the rest or 0.004 percent belonging to the public and private parties.

"However, if the bank is sold to the holders of 0.004 percent of the shares, they cannot enjoy the proceeds. This is because the bank`s equity was negative when LPS took it over," he said.(*)