Indonesia’s IPO Craze Is Alive and Well With 220pct Gainer

22-Jan-2020 Intellasia | Finance | 6:02 AM Print This Post

The Indonesian stock exchange has kicked off the new decade as Southeast Asia’s busiest bourse for initial public offerings.

The nation has seen more listings than any other in the region, accounting for six of the eight IPOs this month, according to data compiled by Bloomberg. These companies have collectively raised $57.4 million.

Companies that listed in Indonesia last year had exceptional returns, with 10 out of 55 of them surging more than 500 percent since their IPO, the data show. Those that went public in January had risen by an average 79 percent through Friday, weighted by deal size, compared with a drop in the national benchmark gauge. Agricultural-services provider PT Cisadane Sawit Raya has gained the most, up 220%.

Here are the newly listed companies on the Indonesian stock exchange this year:

Company Name:

Perintis Triniti Properti

Ashmore Asset Management Indonesia

Bank Amar Indonesia

Royalindo Investa Wijaya

Cisadane Sawit Raya

Tourindo Guide Indonesia

IPO Size:

US$15.6 million

US$15.1 million

US$15 million

US$6.8 million

US$4.0 million

US$0.9 million

Offer to Date Price Move:







In an effort to boost listings, the government said last year it will lower the corporate-tax rate for companies conducting IPOs to 17 percent in the first five years, lower than that of Southeast Asian neighbours such as Thailand and Malaysia. This year, only tiny firms have gone public in Indonesia, with the average offering size sliding over the past decade.

The shares on offer in such small IPOs are usually distributed to a group of cornerstone investors, meaning the shares may have low liquidity upon listing. That can make the stocks prone to huge price jumps, or, conversely, gut-wrenching price falls.

Still, Indonesia is gearing up for several larger deals this year, including the listing of sanitary product maker PT Softex Indonesia for as much as $500 million, and an IPO by the country’s biggest private carrier, Lion Air, which could raise as much as $1 billion, people familiar with the matter said last year.


Central Retail Corp

* Thailand stock exchange

* Size up to $2.6 billion

* Books close February 3, listing February 20

* Bualang Securities, Phatra Securities, Credit Suisse, Morgan Stanley, UBS

Shenzhen Leoking Environmental Group Co

* Hong Kong exchange

* Pre-marketing started December 18

* CLSA sole sponsor

D.I.Y. Group Sdn Bhd

* Bursa Malaysia

* Size up to $500 million

* Pricing date TBD

* CIMB, Maybank

Zhongguancun Science-Tech Leasing Co

* Hong Kong exchange

* Size $65 million

* Listing January 21

* Bocom International, GF Securities, Guotai Junan, Silk Road International Capital

Willfar Information Technology Co

* Shanghai exchange

* Size $103 million

* Listing January 21



Category: Indonesia

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