PT Hillcon Tbk plans to list its shares on the Indonesia Stock Exchange (IDX) through an Initial Public Offering (IPO) mechanism in the first quarter of 2023 and is aiming for fresh funds of Rp 884.6 billion.
In this corporate action, the company will release as many as 442.3 million shares to the public or up to 15% of Hillcon’s issued and paid-up capital after the IPO shares with an initial share price range of IDR 1,250 – IDR 2,000 per share.
“About 55% of the IPO funds will be used to finance working capital related to mining production costs, including fuel costs, overhead costs and heavy equipment maintenance. The remaining 45% will be used to finance capital expenditures. This consists of procuring equipment for support operational activities in the nickel sector,” said Hillcon Main Director Hersan Qiu as quoted from Antara, Saturday (14/1/2023).
The roadshow and initial offering (bookbuilding) of Hillcon shares is scheduled for January 12-26 2023. An effective statement from the Financial Services Authority (OJK) is expected to be obtained on February 7 2023. After the effective statement is issued, Hillcon shares are expected to be listed on the IDX on February 15 2023 .
To smooth the corporate action plan, Hillcon’s management has appointed PT Mirae Asset Sekuritas Indonesia and PT Sucor Sekuritas Indonesia as underwriters for the company’s securities, and Macquarie as underwriter. Hersan said, through the IPO, Hillcon could help strengthen the nickel industry.
“Hillcon’s IPO plan is part of efforts to develop the business, create optimal value for the company and stakeholders and to create an ecosystem for the Indonesian and global nickel industry. That’s why we are holding a roadshow to offer shares to the public,” said Hersan.
Hersan hopes that Hillcon will be able to attract investors to invest in Indonesia in order to strengthen the national economy and create jobs.
“Hillcon has good growth potential along with technological developments. This has strengthened Hillcon’s steps to become a player in the nickel industry,” said Hersan.
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