IDX Reveals IPO Of Companies In Danantara Can Strengthen Capital Market Assets And Supply

JAKARTA - The Indonesia Stock Exchange (IDX) hopes that companies under the Anagata Nusantara Power Investment Management Agency (BPI Danantara) can carry out an Initial Public Offering (IPO).

IDX President Director Iman Rachman, said that the presence of Danantara as a new investment institution has great potential in encouraging capital market development.

"If Danantara enters, what else for the institution? At least they will protect the value of BUMN assets, this will be very significant," he said at the Media Gathering Capital Market Journalist Workshop, quoted on Sunday, November 16.

He added that the existence of Danantara and the opportunity for IPO from companies they manage can increase the supply of quality assets in the capital market.

"So if we can get back at institutional investors. Of course they will, but there will be an increase in supply from Lighthouse IPO, of course we hope that our domestic institutions will continue to increase investment in the capital market," he said.

Regarding the direction of Danantara's investment, Iman assessed that the flexibility of the institution allows various fund placement schemes and Danantara to invest directly or through various other financial instruments.

"I think this is the case, we are indeed communicating, of course they [Danantara] have an investment direction but if they also have funds invested, they can directly or direct investment or they can invest in other products," he said.

Iman also emphasized that Danantara has a character as an institutional investor with a large capacity and long investment period.

"Well, this is what we do how they can optimize the funds they use which are usually used to increase their income. Second, we also support SOEs in large capital and it also needs support from institutional investors, right," he said.

Even so, he emphasized that all investment decisions remained entirely in the hands of the Danantara.

In addition, he has also highlighted the lack of SOEs that have been listed on the stock exchange in recent years.

"This is also interesting that in the last 3 years there have been no SOEs or SOEs listed after PGEO (PT Pertamina Geothermal Energy Tbk)," he said.