PT Metro Healthcare Indonesia (MHI)  eyeing fresh funds up to Rp1.1 trillion ($78.57 million) from the initial public offering (IPO) on March 13 - Photo by Bisnis

JAKARTA (TheInsiderStories)  – PT Metro Healthcare Indonesia (MHI)  eyeing fresh funds up to Rp1.1 trillion ($78.57 million) from the initial public offering (IPO) on March 13. The hospital operator plans to list its shares on the Indonesia Stock Exchange (IDX).

The health service provider will offer as much as 10 billion shares equivalent to 30.07 percent of the total issued and fully paid capital with an indicative price Rp102 to Rp110. The company has appointed PT Jasa Utama Capital to lead the IPO.

MHI is a company engaged in the health sector which focuses on the middle class market of users of insurance health facilities. The company has seven hospitals across the country.

The initial offering period for the IP takes place on Feb. 17 – 21, the public offering period March 3 – 9, and is targeting listing on March 13. As quoted by local media, director of MHI, Henry Kembaren, said the company would use the proceeds from the IPO to build a number of new hospitals and land acquisitions through its unit, PT Metro Global Medika, which oversees all hospitals owned by the company.

This year, he continued, the company will focus on revamping its assets, such as the addition of medical equipment and health support equipment. In the future, the company will continue to expand by targeting hospitals that have great potential and are located in strategic areas.

“At present, we are building a new hospital located in Majalaya, Bandung Regency, with a capacity of 300 mattresses which is estimated to cost around Rp 300 billion. We estimate the operation in 2021,” he said.

In 2020, the operator targets the revenues could reach Rp221 billion, up 31.22 percent compared to the previous year at Rp152 billion. Last year, the company still recorded a net loss of Rp 33 billion.

This year, Indonesian regulator, Financial Services Authority (FSA) targeting total emissions in the capital market to reach Rp200 trillion and 70 issuer become a listed company in 2020. Last year, public offering at the local bourse recorded Rp161 trillion and 60 firms listed at the IDX.

“We are still quite optimistic because last year the public offering in the capital market is Rp161 trillion with 60 companies listed. Our JCI (Jakarta Composite Index) volatility is also quite maintained moved between 6,000 – 6,200,” the chairman, Wimboh Santoso remarked at the Annual Meeting of Financial Industry in Jakarta.

Earlier, IDX’ director I Nyoman Gede Yetna said, there are 33 firms in the agency’ pipelines. In term of type of industry, the companies are derived from various industries which dominated from property, real estate and construction sector around nine companies. Then, trade, service and investment sector about eight companies. and others from  consumer goods industry, agriculture, mining industry sectors.

The 17 companies ready to go IPO until first quarter of 2020 are PT Ifishdeco Tbk, PT Repower Asia Indonesia Tbk, PT Hoppor International Tbk, PT Indonesia Fibreboard Industry Tbk, PT Diamond Food Indonesia Tbk, PT Agros Yasa Lestari Tbk, PT Agro Yasa Lestari Tbk, PT Putra Rajawali Kencana Tbk, PT Morenzo Abadi Perkasa Tbk, PT Putra Mandiri Jembar Tbk, PT Esta Multi Usaha Tbk, PT Nara Hotel International Tbk, PT Royalindo Investa Wijaya Tbk, and PT Prima Multi Usaha Indonesia Tbk

Then, PT Tourindo Guide Indonesia Tbk, PT Galva Technologies Tbk, PT Bank Amar Indonesia Tbk, PT Alamanda Investama Tbk, PT Graha Belitung Utama Tbk, PT Era Graharealty Tbk, PT Cisadane Sawit Raya Tbk, PT Pratama Widya Tbk, PT Karya Bersama Anugerah Tbk, PT Diamond Citra Propertindo Tbk, PT Perintis Triniti Properti Tbk, PT Era Mandiri Cemerlang Tbk, PT Cahaya Bintang Medan Tbk, PT Andalan Sakti Primaindo Tbk, PT Aesler Grup Internasional Tbk, PT Batulicin Nusantara Maritim Tbk, PT Lancartama Sejati Tbk, and PT Makmur Berkah Amanda Tbk.

In addition, Wimboh stated, his office will continue to work hard to attract more companies use the capital market to fulfill their needs, through IPO, bond issuance, and other instrument. The ways that FSA, government and Bank Indonesia (BI) will do are create conducive market, rise the ease of doing business, produce friendly policies and incentives.

Then, he asserted, the government will also facilitate the licensing of companies going to initial public offering and also facilitate companies to get projects so the financing needs of the capital market also increase.

“The government is also multiplying supporting instruments to increase the number of companies that will issue shares or bonds,” said the chairman.

While, IDX will conduct an alternative market operator, new product, and new stock exchange service. As an initial step, the self regulatory office, will develop new ETP platform for bond trading. Then, derivative products, including structured warrants, index futures, single stock future and optimization of ETF trading.

The development of new services is carried out through the development of an electronic public offering system (e-IPO), the development of Securities Lending and Borrowing, the development of new industry classifications, enhancing trading system technology and increasing efficiency of developing trading systems.

Beside, the bourse also continues to support the strengthening of the investor. To support the number of new investor at the bourse, IDX developed SLX services with the Indonesian Clearing and Guarantee Corporation, developed securities funding for investors through Indonesian Securities Funding, and expanded members’ business expansion through regional securities companies.

US$1: Rp14,000

by Linda Silaen, Email: linda.silaen@theinsiderstories.com