Bank Yudha Bhakti Surges 70% On First Day of Trading on IDX
JANUARY 13, 2015
[Updated at 11:02 p.m. on Tuesday, Jan. 13, 2014]
Jakarta. Shares of Bank Yudha Bhakti, a small-sized lender based in Jakarta, rose by as much as 70 percent in its first day of trading at the local stock exchange on Tuesday morning, after being the country’s first initial public offering this year.
The stock closed at Rp 195 on the Indonesia Stock Exchange (IDX). The bank sold 300 million shares, equivalent to 11.93 percent of its equity, at Rp 115 each, according to an official statement on Tuesday.
Bank Yudha Bhakti raised Rp 58.6 billion ($4.7 million) from the IPO, higher than its initial target of Rp 35.4 billion. The funds will be mostly used to expand the lender’s credit base and to add more automatic teller machines (ATM) units, according to its president director Michael Hoetabarat.
Following the IPO, Gozco Capital now owns 53.84 percent of Bank Yudha Bhakti, while the cooperative association of the Indonesian Military and the National Police own 25.49 percent. Other shares are owned by Sugeng Subroto and the cooperative association of the bank’s employees at 3.52 percent and 5.24 percent, respectively. That leaves the public owning about 12 percent of the shares.
Bank Yudha Bhakti, which trades under the symbol BBYB, is the first company to go public this year, adding to the 507 listed companies on the IDX.
The IDX is targeting 32 companies to list this year, amid expectations of an improvement in the economy under the administration of President Joko Widodo. In 2014, there were 24 companies that went public.