Morgan Stanley

Morgan Stanley’s CEO Reinforces Firm’s Indonesia Growth Plans

Nov 17, 2011

Singapore —

JAKARTA, November 17, 2011 – Morgan Stanley (NYSE: MS) today announced plans to establish an onshore equity brokerage presence in Indonesia in 2012. The announcement was made by the Firm’s President and Chief Executive Officer, James Gorman, who is in Jakarta to meet with clients. The new initiative builds on the Firm’s existing investment banking, fixed income and commodities businesses, as well as its offshore wealth management activities.

“We see tremendous cyclical and structural positives for Indonesia,” said James Gorman, citing in particular the country’s favorable population demographics, low debt levels, stable government and abundance of natural resources.

Morgan Stanley highlighted that its Research division forecasts Indonesia’s nominal GDP to double to US$1.4 trillion by 2015.

“Growing the Firm’s businesses in Indonesia is an important strategic priority and commitment for the Firm,” he added. “This reflects our positive outlook for the country and the financial markets in Indonesia, and our desire to offer local and international clients the very best products, services and opportunities.”

Commenting on the Firm’s onshore brokerage plans, Mr. Gorman said, “The new institutional equities operation will complement our existing on-the-ground investment banking franchise and build on our premier global equity sales, trading and research coverage of Indonesian listed companies.” The brokerage will be fully integrated with the Firm’s global institutional equities platform. Morgan Stanley said it plans to go-live with the new equity brokerage operation in mid-2012. Andy Purwohardono, President Director of PT Morgan Stanley Asia Indonesia, said that the Firm continues to implement its onshore brokerage plans and has already achieved a number of milestones. “We have made hires across all the main functional areas and are building out new office space in Jakarta,” he said. Morgan Stanley is also engaging with local authorities for the purposes of relevant licenses and memberships.

“We look to contribute to the development of Indonesia’s capital markets,” said Mr. Gorman. “As a Firm, we want to bring new companies to market and grow the liquidity of existing listed entities. The Firm will also look to enhance global understanding and confidence in the Indonesian economy, encourage foreign inward investment and support the growth of key sectors. These are all areas in which Morgan Stanley has a strong track record globally.”

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About Morgan Stanley

Morgan Stanley (NYSE: MS) is a leading global financial services firm providing a wide range of investment banking, securities, and investment management services. The Firm’s employees serve clients worldwide including corporations, governments, institutions and individuals from more than 1,300 offices in 42 countries.

Morgan Stanley maintains significant market positions in each of its three business segments. A summary of the global activities of each of the segments follows:

Institutional Securities includes capital raising; financial advisory services, including advice on mergers and acquisitions and restructurings; sales, trading, financing and market-making activities in equity and fixed income securities and related products.

Wealth Management provides brokerage and investment advisory services covering various investment alternatives; financial and wealth planning services; credit and other lending products; banking and cash management and credit solutions; and trust and fiduciary services.

Asset Management provides global asset management products and services in equity, fixed income and alternative investment products to institutional and retail clients through proprietary and third-party retail distribution channels. Asset Management also engages in investment activities.

Morgan Stanley in Southeast Asia

Morgan Stanley established a presence in Southeast Asia in 1990 with the opening of its Singapore office. Within the Southeast Asia region, the Firm also conducts business in Indonesia, Malaysia, the Philippines, Thailand and Vietnam. The Firm has been active in Indonesia since the 1990s supporting local companies in international fund raising and advising on select M&A situations. Today, the Firm’s focus areas include investment banking and capital markets, institutional sales and trading, commodities and private wealth management.

Morgan Stanley has had an on-the-ground investment banking presence in Indonesia since 2007. In 2008, the Firm’s Indonesian operating platform, PT Morgan Stanley Asia Indonesia, received a securities license from BAPEPAM enabling the Firm to offer a full range of on-shore investment banking advisory and underwriting services.

Morgan Stanley Indonesia has played important roles in landmark equity transactions such as the US$570 million IPO of Borneo Lumbung Energi and Metal, the US$1.2 billion rights issue of BNI and the US$1.3 billion IPO of Adaro. The Firm has also helped open up the Indonesian market to foreign investors, advising on the investment in Latinusa by Nippon Steel in 2009, Affinity Group’s sale to Spice i2i in January 2011, and most recently, MNC’s stake sale to Saban Capital in October 2011. For further information about Morgan Stanley, please visit