JAKARTA/SINGAPORE :Shares in Indonesia’s Trimegah Bangun Persada (TBP) rose in their trading debut on Wednesday after the company, also known as Harita Nickel, raised 10 trillion rupiah ($672 million) in the country’s biggest listing so far this year.
The firm debut by Harita Nickel could boost sentiment surrounding upcoming IPOs in Indonesia, which is one of the world’s hottest IPO markets this year on a drive by the government to privatise some state-owned enterprises. Harita Nickel’s stock opened at 1,285 rupiah per share, slightly higher than its initial public offering (IPO) price of 1,250 rupiah a share, on the Indonesian stock exchange.
It climbed as high as 1,410 rupiah a share, then dropped to as low as 1,205 rupiah before trading at around 1,275 rupiah, while the local benchmark stock index was down 0.17 per cent.
The IPO comes at a time when nickel-rich Indonesia steps up efforts to become a major player in the electric vehicle industry. Harita Nickel’s peer Merdeka Battery Materials is scheduled to debut on the local bourse next, on April 18, after raising 8.75 trillion rupiah.
New share sales more than quadrupled in Indonesia to $828.1 million in the first quarter from the same period last year, according to Refinitiv data.
“We are really excited about the region, because countries like Indonesia and countries like Thailand – these are places where you see real growth coming back in a very meaningful way,” said Sunil Khaitan, Southeast Asia’s Managing Director and Head of Equity Capital Markets at Bank of America in Singapore.
Other upcoming IPOs in Southeast Asia’s largest economy this year include the planned listing of the upstream arm of state energy company Pertamina, Pertamina Hulu Energi, that could raise up to $2 billion, and state-owned fertiliser company Pupuk Kalimantan Timur that could raise $500 million.
($1 = 14,881.0000 rupiah)
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