PT Cikarang Listrindo, an Indonesian power producer, is planning an initial public offering next year, people with knowledge of the matter said.

The share sale may seek $300 million to $500 million, according to the people. The company is working with UBS Group AG and Citigroup Inc. on the offering, the people said, asking not to be identified as the information is private.

Indonesia plans to build more power plants and lift spending on infrastructure next year to revitalize an economy growing at the slowest pace since 2009. A share sale from Cikarang Listrindo would be the nation’s first IPO by a power producer, data compiled by Bloomberg show.

Cikarang Listrindo is part-owned by Brasali Group, the property developer run by brothers Iwan and Aldo Brasali that controls listed companies including the $1.2 billion mall operator PT Metropolitan Kentjana. Its other shareholders are businessman Ismail Sofyan’s holding company and an investment vehicle of Indonesia’s Joso family, according to the prospectus for its 2012 bond sale.

Representatives for Cikarang Listrindo didn’t respond to e-mails seeking comment.

Rising Consumption

Cikarang Listrindo generates electricity for more than 1,650 industrial customers in Indonesia’s Bekasi area, located east of the capital, according to Brasali Group’s website. It operates a natural gas-fired power plant with an installed generation capacity of 1,000 megawatts and is constructing a coal-fired power plant that will have about 420 megawatts capacity.

The Indonesian government has said it expects electricity consumption to grow 8.7 percent annually through 2024. It aims to add 42,900 megawatts of generating capacity by 2019, largely coal-fired, with about a third built by state utility PT Perusahaan Listrik Negara and the rest by private ventures.

 

Indonesia is the world’s largest exporter of power-station coal, yet has a lower electricity consumption per capita than North Korea, according to the U.S. Central Intelligence Agency’s World Factbook. The Southeast Asian nation can generate about 53 gigawatts, less than Australia, which has about 1/10 of the population.