Kioson Commercial Indonesia, an online to offline (O2O) e-commerce company, will offer 150 million shares or 23.07 percent of total paid-in capital in the IPO. The company is targeting IDR 42 billion to IDR 45 billion with a stock price range of IDR 280 to IDR 300.
Jasin Lim, President Director of Kioson, said that the company will use 75.76 percent of the IPO proceeds to acquire 99.34 percent shares of Narindo Solusi Komunikasi, a provider of mobile phone top-up voucher. The acquisition will increase earnings in order to record profit in 2018. The remaining proceeds of 24 percent will be used for working capital.
“Natrindo’s revenue in April 2017 reached IDR 400 billion. Post-acquisition, Natrindo will contribute 80 to 90 percent of total revenue,” said Jasin.
Based on the prospectus, Kioson posted IDR 25.96 billion per April 2017, five times increase from IDR 4.75 billion in December 2016. The revenue contribution came from e-commerce business of IDR 9.18 billion, digital products of IDR 16.58 billion, Payment Point Online Bank (PPOB) of IDR 190.27 million and other incomes of IDR 10.26
million. The company posted net loss amounting to IDR 4.45 billion due to the five times increase in sales cost to IDR 25.5 billion from IDR 5.2 billion at the end of 2016.
The company is targeting to book IDR 2 trillion in 2018. This ambitious target is underpinned by Natrindo’s performance. The company is also aiming to increase the number of micro, small and medium enterprise (UMKM) partners of online platform user companies from 19,000 to 30,000 partners by the end of 2017. The company will also issue 150 million warrants to be given as an incentive to public shareholders. Sinarmas Sekuritas becomes the underwriter.
The company will also issue 150 million warrants to be given as an incentive to public shareholders. Sinarmas Sekuritas becomes the underwriter.
The listing on the Indonesia Stock Exchange is scheduled to take place on October 3, 2017. Kioson will be the first e-commerce company in Indonesia to be listed as a public company. (*)