JAKARTA. PT Medco Energi Internasional Tbk (MEDC) is still finalizing its plans for the listing of two of its subsidiaries, PT Medco Power Indonesia and PT Amman Mineral Nusa Tenggara on Indonesia Stock Exchange (IDX).
President Director of MEDC, Hilmi Panigoro, revealed that the planned initial public offering (IPO) of Amman and Medco Power were not the company's final destination, but only an option to further develop its subsidiary entities.
Instead of entering the exchange, at this time, said Hilmi, his party will focus on fixing the fundamentals of the two subsidiaries by boosting production capacity, so that when the IPO is conducted, the company's capacity will be good enough. In addition, there are many considerations for entering the capital market, one of which is market conditions.
"We can do (IPO) at any time, but I will not say next month, just prepare the fundamentals, we will determine the time," Hilmy said during an interview with CNBC Indonesia on Wednesday (11/09/2019).
The two companies have indeed been predicted to go public for a long time. The gold and copper mining company, Amman Mineral Nusa Tenggara will enter IDX and aim to get US$ 600 million or around Rp 8.46 trillion (assuming an exchange rate of Rp 14,100 / US$).
Reportedly, Amman will enter IDX no later than the last quarter of this year, however, President Director of Amman Mineral, Rachmat Makassau denies this information. (AM/AR)