JAKARTA PT Delta Giri Wacana Tbk (DGWG) officially listed its shares on the Indonesia Stock Exchange (IDX) by carrying out the Initial Public Offering (IPO).
Through the initial public offering, DGWG offered 882,353,000 new and paid-up shares with a nominal value of Rp100 per share representing 15 percent of the total issued and fully paid capital after the IPO. The final price set by the Company is Rp230 per share, thus, the amount of funds raised through this public offering reaches Rp202.94 billion.
DGWG President Director David Yaory said that the proceeds from the public offering were used to invest working capital focused on purchasing product raw materials in meeting market demand and supporting national food security programs.
"The availability and affordability of agro-input products plays an important role in supporting the food security program currently being initiated by the government," he said, Monday, January 13.
To note in 2025, the Indonesian government has set food security as one of the main priorities by allocating a budget that has reached Rp159 trillion.
According to David, this policy shows the government's commitment to ensuring the availability of sufficient, affordable, and quality food for the entire community.
David said that this step is also expected to encourage the growth of the agricultural sector, strengthen rural economies, and reduce dependence on food imports.
"In line with government programs, DGWG is focusing on meeting our demand for input agro products," he said.
David conveyed that the role of the industry, in this case DGWG, is a strategic partner who can support national food security programs and advance Indonesian agriculture, becoming very important.
To note, the funds obtained from this IPO after deducting the emission costs will be used around 53.2 percent to fulfill working capital for the purchase of raw materials for making pesticides.
Furthermore, around 46.8 percent will be deposited with PT Fertilizer Inti Technology in the form of capital participation that will be used to fulfill working capital. The plan, the capital participation will be diverted to purchase raw materials for fertilizer manufacturing.
On the other hand, as of June 30, 2024, DGWG recorded revenue of IDR 1.4 trillion with a net profit of IDR 32 billion.
DGWG Finance Director Danny Jo Putra said the company was optimistic that it could maintain positive growth thanks to solid investment expansion and strategies.
"We are targeting that by the end of 2024 the total revenue we will get is IDR 3.4 trillion, up from the previous year, which was IDR 3 trillion. With this achievement, we are still confident that we can record a net profit in 2024 of IDR 180 billion," he explained.
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With this step, Danny said that DGWG is ready to strengthen its capacity and performance in supporting the Indonesian agricultural sector, as well as creating more value for shareholders, consumers and the community.
"With the current completeness of the business model, DGWG is a one stop solution for agricultural supply products needed by farmers and Indonesian agricultural industry players," he said.
Danny added that the company will continue to innovate and expand the network to meet market needs and support national food security.
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