Jakarta –
PT Nusantara Sejahtera Raya Tbk, known as Cinema XXI will take the floor on the capital market through an initial public offering (Initial Public Offering / IPO).
The initial offering period will take place from 10 to 14 July 2023. Following are the facts about Cinema XXI going IPO.
1. Offer a price of IDR 270- IDR 288 per share
The largest cinema network company in Indonesia will offer up to 8,335,000,000 new shares issued from the company’s portfolio or 10.0% of the issued and paid-up capital after the IPO.
The offering price range is around Rp 270-288 per share. Cinema XXI has appointed PT Indo Premier Sekuritas, PT JP Morgan Sekuritas Indonesia, PT Mandiri Sekuritas, and PT UBS Sekuritas Indonesia as underwriters for the issuance of the securities.
“The cinema industry in Indonesia has experienced strong growth after the Covid-19 pandemic. This is reflected in the enthusiasm of the Indonesian people to return to watching films in cinemas which have gradually recovered throughout 2022 until now. To continue this positive growth trend, Cinema XXI is taking the IPO corporate action as a strategic step,” said President Director of PT Nusantara Sejahtera Raya Tbk, Hans Gunadi at Plaza Senayan, Jakarta, Friday (7/7/2023).
2. Aim for funds of IDR 2.4 trillion
Cinema XXI targets a maximum of Rp 2.4 trillion from the initial public offering.
Hans said that this corporate action would strengthen Cinema XXI’s commitment to always provide the widest possible access for the public
to watch movies, including by opening cinemas in potential areas throughout Indonesia.
Cinema XXI will use around 65% of the proceeds from the IPO to fund capital expenditures for the development of cinema networks in Indonesia. This is done through the construction of new cinemas, the purchase of image and sound projection equipment with the latest technology and other equipment to improve the quality of cinemas.
About 15% will be used for working capital. Meanwhile, 20% will be used for payment of the Company’s short-term liabilities.
3. Cinema XXI is confident that it will sell
Main Director of PT Indo Premier Sekuritas Moleonoto The said Cinema XXI was the leader in the Indonesian cinema industry. More than half of the cinema screens in Indonesia belong to Cinema XXI.
“If we look at the Indonesian cinema industry, the number of screens alone at the end of 2022 will represent 58% of the screens in the country,” he said in Jakarta, Friday (7/7/2023).
Cinema XXI’s market share is also claimed to represent 69% of moviegoers in Indonesia. In terms of location, Cinema XXI is at a strategic point with heavy traffic.
Cinema XXI also has 225 cinemas spread across 55 cities in Indonesia as of December 31 2022. The locations also cover areas on the island of Java.
From a financial standpoint, Cinema XXI recorded solid performance in 2022, namely revenue of IDR 4.40 trillion, an increase from the previous year which amounted to IDR 1.28 trillion. Revenue in 2022 was mainly supported by cinema ticket sales of 61%, food and beverage sales of 33%, advertisements of 3% and digital platforms of 3%.
With solid performance, Cinema XXI recorded a net profit of IDR 506 billion in 2022, from a loss of IDR 354 billion in 2021. Cinema XXI’s EBITDA is also getting stronger, namely IDR 1.44 trillion in 2022, from the previous IDR 329 billion in 2021.
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2023-07-08 01:28:30
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