JAKARTA. As previously informed, PT Daya Mitra Telekomunikasi Tbk (MTEL) or Mitratel successfully debuted in the stock exchange, securing IDR 18.79 trillion in its initial public offering (IPO). Additionally, it has been revealed that during its IPO, its shares got oversubscribed.
Starting Monday (22/11), Mitratel’s shares have been recorded on the stock exchange and could be officially traded in the trading session of Indonesia Stock Exchange (IDX). As been known, the total shares issued to the public amounted to 23.49 billion shares, offered for IDR 800 each.
During the press conference today (22/11), the management stated that the stock recording initiated today is a part of the company’s business transformation commitment. Moreover, this corporate action is said to be a way to rearrange its portfolio to optimise Mitratel’s value to Telkom Group, its holding company, and its entire stockholders.
“It would be a great potential for Mitratel to become the biggest independent telecommunication tower provider in Southeast Asia,” Ririek Ardiansyah, President Director of PT Telekomunikasi Indonesia (Persero) Tbk (TLKM), proclaimed.
Additionally, Theodorus Ardi Hartoko, President Director of Mitratel, claimed to spend all the raised funds during the IPO to solidify all business lines managed by Mitratel. “It has been formulated in the business plan that does not only focus on the telecommunication tower business. Instead, it will also focus on the growth to become an infrastructure company that is ready to support the 5G era and its future advancement,” he further stated in the press conference today (22/11).
As mentioned before, Mitratel would spare 40% of the IPO proceeds to organic capital expenditure, 50% to inorganic capital expenditure, and the remaining 10% to the company’s working capital and other needs.
The corporate action initiated by Mitratel has received a positive response from Indonesia Investment Authority (INA) as it managed to attract investment from Sovereign Wealth Fund (SWF). Several additional potential investments came from GIC, Abu Dhabi Investment Authority (ADIA), and Abu Dhabi Growth Fund (ADG). “We are beyond excited to participate as the investor in Mitratel’s IPO to accelerate the development and enhancement of the digital infrastructure quality,” the management of INA disclosed in its official statement. (KR/ZH)