Week Full of New Company Listings on the Indonesia Stock Exchange

On their first trading day, shares of the three new listed companies surged. Shares of Capitol Nusantara Indonesia rose 19.5 percent while Bank Ina Perdana's shares rose 12.5 percent. Shares of Asuransi Mitra Maparya were blocked after they had surged 50 percent on the first trading day (causing the auto rejection scheme to intervene). Popularity of this stock had already been evidenced by huge demand from investors during the initial public offering (IPO) process (becoming oversubscribed).

Similar to last year, the Indonesia Stock Exchange (IDX) expects 30 new listings in 2014. President Director of the IDX Ito Warsito stated that - despite economic uncertainty and public caution over Indonesia's legislative and presidential elections (held in April and July), Indonesian companies are still positive about going public.

Asuransi Mitra Maparya

Insurance firm Asuransi Mitra Maparya raised IDR 108 billion (USD $9 million) by releasing 4.02 million shares (29 percent of its enlarged capital). Around 65 percent of these proceeds will be used to establish new branches or service points. Asuransi Mitra Maparya's business is mainly focused on automotive insurance, followed by property and health insurance.

Bank Ina Perdana

Lender Bank Ina Perdana offered 520 million stocks to the public (24.76 percent of its enlarged capital) and raised IDR 124.8 billion (USD $10.4 million) which will be used for credit expansion as the company targets credit growth of about 20 percent in 2014.

Capitol Nusantara Indonesia

Shipping company Capitol Nusantara Indonesia raised IDR 41.7 billion (USD $3.5 million) by selling 208.36 million shares (25 percent of its enlarged capital). These proceeds (in combination with bank loans) will be used to purchase a new anchor handling tug supply vessel (AHTS) in order to support operational activities.

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