There have been no new initial public offerings (IPOs) by state-owned firms on the Indonesia Stock Exchange over the past three years.
A screen at the Indonesia Stock Exchange (IDX) shows stock quotes on Jan. 2, 2025, in Jakarta . (Antara Foto/Hafidz Mubarak A) (Antara Foto/Hafidz Mubarak A)
State asset fund Danantara is lining up some of the country’s biggest state-owned enterprises (SOEs) under its umbrella for listing on the Indonesia Stock Exchange (IDX), betting that the move could sharpen corporate governance and deepen the market.Analysts welcomed the plan, particularly for well-performing SOEs, saying initial public offerings (IPOs) could improve transparency and inject more liquidity into the bourse. But with the stock market already under pressure, they cautioned that poorly timed or inadequately prepared listings could struggle to attract investors or crowd out other companies seeking fresh capital.
Danantara chief investment officer Pandu Sjahrir told reporters on Monday that the agency would focus on the IPO process over the next 6-12 months, which would be carried out by Danantara Asset Management (DAM), a subsidiary that is responsible for managing and operating SOE assets.
