Targeting IPO Funds Of IDR 379.76 Billion, Indonesian Coffee Forefront Targets Open 140 New Outlets

Co-Founder and CEO of Fore Coffee Vico Lomar. (Photo: Aris Nurjani/VOI)

PT Fore Kopi Indonesia plans to conduct an Initial Public Offering (IPO) and is scheduled to take the floor on the Indonesia Stock Exchange (IDX) on April 11, 2025.

The issuer candidate with the FORE stock code offers as many as 1.88 billion shares or represents 21.08 percent of the issued and fully paid capital.

In addition, FORE will offer shares with an initial offering price of around Rp160' Rp202 per share, so that FORE has the potential to obtain and fresh Rp379.76 billion from the initial public offering.

Meanwhile, acting as the underwriter for the issuance of securities in this IPO are PT Mandiri Sekuritas and PT Henan Putihrai Sekuritas.

In addition, during the initial bidding period or book building, it will start on 19-21 March 2025, the effective date on March 25, 2025 and the public offering period on March 26, 2025 to April 9, 2025.

Furthermore, the funds obtained from the IPO will be used as much as 76 percent to open around 140 new outlets with the composition of the outlets are 10 percent flagship outlets, 80 percent for medium outlets, and 10 percent satellite outlets which are included but are not limited to the cost of renovating the cost of procuring equipment and outlet equipment in the Greater Jakarta area, as well as other areas in Java, Sumatra, Kalimantan, Sulawesi and Bali.

In addition, Fore will also use 18 percent of the proceeds from the IPO to make a capital deposit to open donor outlets through its subsidiary, and 6 percent for working capital. Where the use of these funds is planned to be carried out in stages from 2025 to 2026.

Co-Founder and CEO of Fore Coffee Vico Lomar explained that this corporate step was taken to expand expansion and strengthen Fore Coffee's position in the premium coffee market which continues to grow.

"We see great opportunities in the Indonesian premium coffee market, and this IPO will provide us with the resources needed to take advantage of these opportunities," he said at a press conference, Friday, March 21.

Vico said that Fore plans to add around 140 outlets by 2026, with a minimum target of 72 new outlets this year.

Based on a Redseer Analysis report in December 2024, the Indonesian coffee market has a projected growth growth rate (CAGR) growth growth growth of 11 percent for the next five years, with a potential market size of 12.6 billion US dollars or equivalent to IDR 206 trillion with an exchange rate of IDR 16.350.

Vico said that the opening of new outlets would be built in various Jabodetabek areas as well as other areas in Java, Sumatra, Kalimantan, Sulawesi and Bali.

"We are expanding in tier cities 1, 2 and 3. Maybe this year we will start entering Ambon," he said.

Therefore, Vico said that Fore targets revenue growth of 40 percent to 50 percent by 2025 compared to the previous year.

For information, until September 2024 the Fore recorded sales of IDR 727 billion, an increase of 135 percent compared to the same period the previous year of IDR 309 billion.

In addition to sales growth, Fore recorded a gross profit of IDR 447 billion in September 2024 or an increase compared to September 2023 of IDR 195 billion.