JAKARTA (TheInsiderStories) – The Indonesia Stock Exchange (IDX) reported there are six prospective issuer ready to take floor in this year. As of Sept. 21, said the bourse, 46 companies have to offer their shares through an initial public offering (IPO).
In details, the two companies are property, real estate and construction sectors, two entities from trade, services and investment sector, one company from the miscellaneous Industry sector and others from the agriculture sector. IDX’ director, I Gede Nyoman Yetna, said on Tuesday (09/21), apart from the IPO, there are five issuers has plans to issues Rupiah bond and SUKUK.
Until Sept. 15, 2020, there are 46 companies has been listed their shares at IDX and in total the number of issuers reached 709. The latest IPO was the hotel-chain operator, PT Planet Properindo Jaya Tbk (IDX: PLAN).
The local bourse targeted at least 57 firms will go IPO in this year. Before the spread of COVID-19, the self regulatory office sees 70 companies has potential to offer their stock in this year. Throughout 2019, there were 55 companies that has been listed with total emission values of Rp15.32 trillion (US$1.05 trillion).
To smooth the IPO , currently the management of IDX has launched the Electronic IPO (e-IPO) System on August 10. Earlier, Indonesian government has give a tax incentives for the companies has plans to list its share in IDX. Initially, the potential issuers must pay income tax 22 percent for the IPO.
“For IPO tariffs in the form of corporate income tax are reduced by 3 percent to 19 percent in 2020 and 17 percent in 2021 for the release of 40 percent of shares and certain conditions,” said finance minister, Sri Mulyani Indrawati on April 1.
Beside, Yetna conveyed, the bourse will using the government support, such as tax incentives, new capital market law, and other policies to bring more companies utilizing the capital market to raise fresh funds. While, Financial Service Authority (FSA) hope the direct investment go to Indonesian financial market could reached Rp190 trillion in this year.
According to the chairman, Wimboh Santoso, his office will continue to work hard to attract more companies go public, issue bond and other instrument to boost the direct investment enter the market. 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, the government will also facilitate the licensing of companies going to IPO and also facilitate companies to get projects so the financing needs of the capital market also increase. IDX also conducted 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. Beside, the bourse also continues to support the strengthening of the investor.
To support the number of new investors 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.
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