KKES Chemical Distribution Company Ready To Go To The Stock Exchange

Illustration. (Photo: Doc. Antara)

JAKARTA - Chemical distribution company PT Kusuma Kemindo Sentosa Tbk is in the process of an initial public offering (IPO).

In a written statement received on Tuesday, July 19, it was stated that the company, which will be listed under the KKES stock code, would release a maximum of 450,000,000 shares to the public. This amount is equivalent to 27.27 percent of the issued and fully paid capital after the IPO.

In the initial offering period (bookbuilding) which will take place from 19 - 27 July 2022, KKES will set an offering price of between Rp. 100 - Rp. 130 per share. In this way, KKES has the potential to obtain fresh funds of up to IDR 58.5 billion.

In this IPO, KKES appointed PT Mirae Asset Sekuritas Indonesia as the underwriter. The Company implements the Employee Stock Allocation (ESA) program with a maximum amount of 2.5 percent (two point five percent) of the amount offered in the Public Offering or a maximum of 11,250,000 (eleven million two hundred fifty thousand) shares. The initial offering period is on 19-27 July 2022 with an estimated effective 29 July 2022 and listing on the Exchange on 8 August 2022.

KKES was founded in 1990 in Jakarta, Indonesia. KKES is a subsidiary of PT Catur Sentosa Adiprana Tbk, a company engaged in the distribution of building materials and consumer goods, as well as modern retail of building materials and home improvement Mitra10.

KKES is active as an importer, stockist & distribution of commodity and specialty chemicals, food, construction chemicals and related materials. The Company is currently running a business in the wholesale trading of basic chemical materials and goods, wholesale trading of various kinds of building materials and wholesale trading of machinery, equipment and other equipment where the company sees promising business opportunities in the field of chemicals for industrial and household purposes. .

The Company currently serves sales through its offices in Jakarta, Bandung, Semarang, Surabaya and serves more than 2,300 customers supported by more than 9 principals who provide sole agents and more than 12 principals who have appointed as authorize distributors, as well as more than 15 principals who have appointed as authorized distributors. provide support supply so far. Their support so far, the Company has distributed more than 1,000 products.

All funds obtained from the Initial Public Offering, after deducting securities issuance costs, will be used for:

1. Approximately 95 percent will be used for working capital in order to support the Company's operational activities and business development with details, among others:

- About 30 percent for operational costs such as salaries, transportation costs, office costs, sales costs and others.

- Approximately 65 percent for the purchase of merchandise, payment of trade payables to suppliers.

2. Approximately 5 percent will be used for the development of the Company's information and technology systems including the digitization of IT systems for sales, delivery, inventory and logistics.

Several things that will be done by KKES in the future are increasing purchases both in volume and product, reducing bank loans, getting new principals and products with a strong team to take off. In addition, KKES also plans to expand new branches in the West Java and Central Java areas, including digitizing the Sales Service and Inventory control process.