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STOCKS NEWS INDONESIA-CLSA initiates Alam Sutera with buy

CLSA Asia Pacific Markets started coverage of PT Alam Sutera Realty Tbk with a 'buy' rating and a target price of 650 rupiah, as the real estate company is expanding its land bank with a strong pent-up demand for new projects.

"Asri added 90 hectares of land in Serpong this year for a 300 hectares total. The lifespan of the land development should be seven to eight years and it may acquire another 100 hectares in 2013," CLSA said in a note on Thursday.

The research house noted that the 2,600 hectares of land in Pasar Kemis will be the "key growth" driver for the company in the coming years.

Alam Sutera will open its Serpong mall in December 2012 and it is also venturing into commercial projects, which offer huge potential, the brokerage said.

CLSA said Alam Sutera stock price reflects only Serpong's land value as it is trading at a 9 percent discount to its net asset value, implying a good entry point.

The property developer's shares were up 1.03 percent at 490 rupiah, while the broader index was down 0.4 percent.

1400 (0700 GMT)

(Reporting by Andjarsari Paramaditha, Editing by Anand Basu) ((andjarsari.p@thomsonreuters.com)(+62 21 3199 7170)(Reuters Messaging: andjarsari.p.thomsonreuters.com@thomsonreuters.net))

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10:40 STOCKS NEWS INDONESIA-Pelayaran Nelly soars on debut

Shares in Indonesian shipping firm PT Pelayaran Nelly Dwi Putri Tbk gained as much as 45.8 percent after its trading debut on Thursday.

Pelayaran Nelly was the seventeenth company to list on the Indonesian stock exchange this year. Its IPO, which aimed to raise 58.5 billion rupiah ($6.10 million), was priced at 168 rupiah a share. Most of the proceeds will be used to buy new ships and for business expansion.

The stock was trading at 188 rupiah with a volume of 103.7 million shares traded. The Jakarta Composite Index was down 0.17 percent.

($1 = 9,592 rupiah) 1029 (0329 GMT)

(Reporting by Andjarsari Paramaditha,Editing by Sunil Nair)

((andjarsari.p@thomsonreuters.com)(+62 21 3199 7170)(Reuters Messaging: andjarsari.p.thomsonreuters.com@thomsonreuters.nett))

Keywords: MARKETS INDONESIA STOCKSNEWS/ALAMSUTERA