Diskongkong Konglomerat Sugianto Kusuma 'Aguan', Plastic And Primadaya Tisu Producers Release 500 Million Shares To The Public

JAKARTA - The company engaged in the production of plastic packaging and sterile tissue, PT Primdaya Plastisindo Tbk, is optimistic that it will gain growth after the initial public offering (IPO).

Primadaya Plastisindo President Director Kennie Angesty said that currently his party has completed the initial offering period and obtained an effective permit from the Financial Services Authority (OJK) to continue a series of IPO activities. Later, the company's shares with the PDPP code will also enter as shares of DES (Sharia Stock List).

"We are optimistic that the company's performance will continue to grow even though the uncertainty of economic conditions is projected in the future. We have also found strategic investors who believe that the company is able to have positive growth and the potential to continue to grow and have good corporate governance," said Kennie, quoted by Antara, Thursday, November 3.

The strategic investor is the founder of Agung Sedayu Group, Sugianto Kusuma.

The company will release 500 million shares or as much as 20 percent of the total issued and fully paid capital after an IPO with a nominal value of IDR 100 per share and offered at a price of IDR 200 per share. The potential fund to be covered is around IDR 100 billion.

Kennie said that all proceeds from the initial public offering after deducting issuance costs, around 67 percent will be used to expand the purchase of machinery, increase production capacity, and increase the product variant that the company will market. The rest, about 33 percent, will be used for working capital.

A number of strategies will be carried out in order to seize various opportunities for future growth, including improving the quality of human resources, expanding the market share of free market products through e-commerce and distributors, adding trading partners through the horeka sector, following technological developments, diversifying products and markets, and opening branches in other big cities in Indonesia.

"The plastic packaging industry is an industry that is really needed by the community, but location is very important to reduce delivery time and costs. With geographical expansion, the company's ability to diversify production site products, the company's ability to absorb plastic demand will quickly grow in areas to be developed," said Kennie.

Since its establishment in 2005, the company has started business activities in Cileungsi, Bogor, West Java, by producing several types of plastic packaging and sterile tissue. Currently, the company also has a business branch, namely factories in Lampung, Binjai, Tangerang and Sukabumi.

Performance, last year the company managed to record a growth of 32.26 percent to IDR 318.99 billion compared to the same period the previous year of IDR 77.81 billion. This was driven by an increase in sales of jerry cans, gallons, bottles, and materials.

Although net profit has not been raised, the company believes that this year the condition will turn around with a signal of net profit reaching which jumped 113.6 percent as of May 2022.

Meanwhile, the PDPP share listing plan will be carried out on November 9, 2022. The initial offering period has been carried out on October 13-20, 2022, then the initial public offering period will be carried out on November 3-7, 2022, and electronic distribution will be made on November 8, 2022.

Acting as the Underwriter in this Initial Public Offering is PT Semesta Indovest Sekuritas.