United States stimulus and climbing COVID-19 cases weighed Asset under management of mutual fund managers in Indonesia reached Rp552.28 trillion (US$39 billion) in 2020, up 3.8 percent from prior year amounting to Rp532.13 trillion - Photo: Special

JAKARTA (TheInsiderStories) – Some issuers at the Indonesia Stock Exchange (IDX) announced will start their buyback program today. On March 9, the Financial Services Authority has allowed listed companies to buyback shares up to 20 percent of their paid-up capital without need a shareholders approval.

The new policy has been taken in an effort to ease market volatility and provide the stimulus to the market.

In the public announcement, state-owned toll road operator, PT Jasa Marga Tbk (IDX: JSMR) prepared Rp500 billion (US$35.71 million) to buyback it shares on the IDX. The shares buyback program will be done in stages in three months period since the date of the disclosure.

The company plans to hold new shares as treasury stock not more than 3 years, said the statement. Total assets of the operator without a buyback program recorded Rp94.23 trillion and become Rp93.77 trillion after the corporate action.

The other state-owned construction firm, PT Adhi Karya Tbk (IDX: ADHI) will conduct a stock buyback with total funds Rp100 billion or a maximum of 20 percent of the issued and fully paid-up capital. Then, PT Wijaya Karya Tbk (IDX: WIKA) prepared Rp300 billion to repurchase its stocks from the market.

PT Waskita Karya (IDX: WSKT) also organizes Rp300 billion for the buyback program. While, property developer, PT PP Tbk (IDX: PTPP) will spend Rp250 billion.

Beside the SOEs, private companies also plans to buyback their stocks. Insurance fimr, PT Rukun Raharja Tbk (IDX: RAJA) plans to spend Rp40 billion for the buyback program. Beside those issuer, PT Henan Putihrai Sekuritas summarizes a series of issuers that have potential to buyback their stocks.

The companies are PT Bank Rakyat Indonesia Tbk (IDX: BBRI), PT Bank Mandiri Tbk (IDX: BMRI), PT Bank Negara Indonesia Tbk (IDX: BBNI), PT Bank Central Asia Tbk (IDX: BBCA), PT Astra International Tbk (IDX: ASII), PT HM Sampoerna Tbk (IDX: HMSP), PT Adaro Energy Tbk (IDX: ADRO), PT Telkom Indonesia Tbk (IDX: TLKM), PT Bank CIMB Niaga Tbk (IDX: CIMB), and PT Bank Tabungan Negara Tbk (IDX: BBTN).

Furthermore, PT Perusahaan Gas Negara Tbk (IDX: PGAS), PT United Tractor Tbk (IDX: UNTR), PT Bank Permata Tbk (IDX: BNLI), PT Indofood Sukses Makmur Tbk (IDX: INDF), PT Indofood CBP Sukses Makmur Tbk (IDX: ICBP), PT Barito Pacific Timber Tbk (IDX: BRPT), PT Bumi Serpong Damai Tbk (IDX: BSDE), PT Indosat Ooredoo Tbk (IDX: ISAT), PT Bank Mega Tbk (IDX: MEGA), and PT Lippo Karawaci Tbk (IDX: LPKR).

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