Cooperation With Stock Exchange, Kadin Calls Many Of Its Member Companies Potentially Release Shares To The Public

Chairman of the Indonesian Chamber of Commerce and Industry (Kadin) Arsjad Rasjid. (Photo: Doc. Antara/Kadin)

JAKARTA - The Indonesian Chamber of Commerce and Industry encourages its member companies to expand by releasing shares to the public through an initial public offering (IPO) scheme.

This statement was made by the Chairman of the Indonesian Chamber of Commerce and Industry Arsjad Rasjid when signing a Memorandum of Understanding with the Indonesia Stock Exchange (IDX), Tuesday, December 6.

This collaboration is in order to increase the understanding and role of the Indonesian capital market as an investment tool for business actors.

One way to expand market reach and advance business is to conduct an IPO. The company can offer shares to the public so that it gets additional capital through the IPO.

Arsjad said, as a home for the business world, the Indonesian Chamber of Commerce and Industry has many members of the Indonesian Chamber of Commerce and Industry who have the potential to grow through the IPO and become an open company.

"However, currently there are still many companies in Indonesia that have not become public companies due to a lack of knowledge about the capital market and information about the IPO," said Arsajd, quoted Wednesday, December 7.

Arsjad also said that it was important for companies in Indonesia to become listed companies. Of course, the Indonesian Chamber of Commerce and Industry will also encourage investors in Indonesia to invest in the stock exchange.

"The signing of this memorandum of understanding can help encourage MSMEs to become companies that are ready for IPOs. Therefore, the Indonesian Chamber of Commerce and Industry conducts socialization and coaching clinics to educate business actors regarding the importance of the IPO and the requirements needed for the IPO," Arsjad added.

On the same occasion, IDX President Director Iman Rachman hoped that this cooperation could be carried out well through various joint activities and programs for Kadin members.

"Hopefully this collaboration can be a good start to jointly develop Indonesia through an increase in the number of investors, especially local investors or individuals who will become a solid foundation for the sustainability of a more advanced capital market and economy," said Iman.