Start-up Go-Jek is considering an initial public offering. (Reuters Photo/Beawiharta)

Indonesia's Go-Jek Considering IPO, Timeframe Undecided: President


MARCH 05, 2018

Jakarta. Indonesian start-up Go-Jek is considering an initial public offering, president Andre Soelistyo told reporters on Monday (05/03), but details on timing and float size haven't been decided yet.

Andre met with Indonesia Stock Exchange chief executive on Monday to discuss the potential share sale, including a regulatory requirement to be profitable within two years of listing.

"We discussed what technology companies need [to do an IPO] and how [the exchange] can provide access," he said.

Andre also raised the possibility of a dual-listing after Indonesia, but said a decision on where hasn't been made.

Go-Jek is yet to appoint an underwriter for the plan, Andre said, in a sign that details around IPO size, company valuation and how much of the firm will be listed are some way off.

Go-Jek delivers everything from meals and groceries to cleaners, masseuses and hairdressers across Indonesia's capital city Jakarta, all at the touch of a smartphone app — helping it become a crucial workaround in a city with some of the worst traffic in the world.

Bankers have listed Go-Jek's potential IPO as a key float to track in Asia's ride-hailing and mobile payments market, which has caught the attention of global investors.

Go-Jek raised a higher than targeted $1.5 billion in a fundraising round from several investors including Google, Temasek Holdings and Chinese technology giants Tencent Holdings and, sources said last month.

The latest round of investments valued Go-Jek at about $5 billion, the sources said.

Rivals Grab and Uber are backed by Japan’s SoftBank Group.

Go-Jek plans to expand its business beyond Indonesian borders by setting up operations in the Philippines in early 2018, with other Southeast Asian countries to follow later that year, it's chief technology officer said in December.

On top of that, Go-Jek has said it will roll out new services soon, including installing charging stations in retail outlets that users can access through their app. The company also plans to launch a laundry pick-up and delivery service to their already extensive services.