Jakarta (TheInsiderStories) – PT Bhakti Agung Propertindo eyeing funds around Rp335 billion (US$23.59 million) from the initial public offering (IPO), the company announced yesterday (08/14). The property developer is in the pipeline of the companies which will be listed on Indonesia Stock Exchange (IDX) for this year.
Bhakti Agung offers 1.67 billion share or 30 percent of the total issued and paid up capital with indicative price Rp150 to Rp200 a share. The company also issued warrant 1.34 billion unit or 34.3 percent of the total issued and paid-up capital. The instrument will be used to attract investors to buy the company shares is given for free as an incentive.
It said, every 100 shares will get 80 warrants, where every one warrants has potential to convert with one common share. The warrants have an implementation period of three years with a nominal value of Rp50 per share but an exercise price not yet determined.
It said, 20 percent of the IPO’ proceeds will use to pay debt to PT Bank Tabungan Negara Tbk (IDX: BBTN) and the rest of it for working capital. PT MNC Sekuritas acted as an underwriter for the IPO.
The bookbuilding period has been begun since August 14 to August 21. Then, the company targets the effective date on August 28, 2019 and listing at IDX on Sept. 6
Bhakti Agung whose headquarter is in Tangerang, Banten, focuses on apartment, commercial, condominium and hotel residential businesses, as well as the College of Health Sciences and Pratama Clinic.
The company is owned by PT Grha Agung Propertindo with 57.5 percent and PT Nugraha Prima Griyatama with 42.50 percent. After the IPO, Grha Agung Propertindo’ ownership will slice to 40.25 percent while Nugraha Prima to 29.75 percent and public holds 30 percent.
On Monday, IDX’ director I Gede Nyoman Yetna said 15 companies has planned to go IPO engaged in various industry. The companies has consider to go IPO are mining company PT Dana Brata Luhur trade services company PT Itama Ranoraya.
Then property companies such as Bhakti Agung, PT Dynatal Tatapersada Sampurna, PT Nusantara Almazia, and PT Alamanda Investama. From the basic industrial sectors like PT Optima Prima Metal Sinergi, Saraswanti Anugerah Makmur, PT Trinitan Metals and from various industry company namely PT Gaya Abadi Sempurna, PT Ifishdeco, and the service company PT Meka Adipratama.
He said, one company now in the process to list its shares on August 20 engaged, PT Kencana Energi Lestari. The power producer offered 977.68 million shares or as much as 25 percent of issued and paid-up capital with indicative price ranges Rp250 to Rp420 each. The company targeting to raise fresh funds up to Rp410 billion.
Until August 2, said Yetna, 32 companies has been listed at the IDX, bringing the total number of listed companies to 649 companies with market capitalization Rp7,205 trillion. There are also six new Exhchane Trade Funds, two Real Estate Investment Funds, and one DInfra.
Left one quarter, IDX’ President Director Inarno Djajadi remains optimistic the number of new issuers reached 57 companies in this year, same as the number of companies that IPO in 2018.
“Hopefully we can achieve more than 57 new issuers, last year we were 57 listed companies,” he said by adding until first week of August the average daily transaction Value worth of Rp9.74 trillion.
Indonesian government continues to encourage more companies to take floor on the stock market through incentives and tax facilities. The provision of tax incentives aims to increase the role of capital markets in the Indonesian economy and to encourage transparency and corporate governance, including in terms of tax compliance
The government provided incentives for reducing corporate income tax for companies that are on the stock exchange with more than 40 percent of shares distributed in the stock market. He continued, since 1983, the issuer can get incentives in the form of reducing corporate income tax by 5 percent of the total that should be paid.
In addition, the government also provides incentives for shareholders whose listed company shares by give transaction tax of 0.1 percent of the transaction value +0.5 percent of the IPO value for the founding shareholders or 0.1 percent of the transaction value for other shareholders.
The companies going public get many benefits, among others the reduction in the corporate income tax rate by 5 percent, from the 25 percent currently in force. Second, the final income tax on the sale of shares on the exchange is only 0.1 percent of the transaction value, plus 0.5 percent of the value of the shares for the sale of the shares of the founder.
Third, the calculation of income tax installment article 25 can also be done based on quarterly reports in accordance with business conditions.
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