Hillcon Official IPO, This Nickel Contractor Share Increases 5.6 Percent In Its First Session

Share illustration (Photo: Doc. Antara)

JAKARTA - PT Hillcon Tbk (HILL) officially took the floor on the stock exchange floor. This mining contractor company won Initial public offering of up to IDR 552.8 billion.

HILL shares opened up 2.0 percent to Rp1,275 from an offering price of Rp1,250 per share.

From VOI's observation, at the close of the first trading session, HILL's shares rose 70 points or 5.6 percent to Rp1,320. From its movement, the highest level was at Rp1,380 and the lowest was Rp1,270.

Through this initial recording, Hillcon managed to reap fresh funds worth IDR 552 billion by issuing shares with an offering price of IDR 1,250 per share of 442,300,300,000. new shares or as much as 15 percent of the company's issued and fully paid capital.

President Director of HILL, Hersan Qiu said, IPO HILL has succeeded in attracting various investors, both foreign and domestic, to participate in the initial public offering. The Company's Initial Public Offering of Shares experienced oversubscribed 5 times with a total shareholder of more than 9 thousand investors.

He further added, as the largest nickel producer in the world, Indonesia is predicted to produce around 1.2 million tons of nickel by 2022, equivalent to 37.5 percent of total global production.

"This indicates the enthusiasm and optimism of Indonesian capital market investors towards the company's future," he said, Wednesday, March 1.

Indonesia is also the second largest stainless steel producer in the world after China. In terms of nickel reserves, it is proven that Indonesia has a share of 22 percent or the equivalent of 21 million tons of nickel metal, and is predicted to remain the largest contributor to nickel and nickel ore supply in the world with an estimated market share of 38 percent by 2024.

The nickel industry is one of the sectors that is growing rapidly in Indonesia. nickel products are currently experiencing very high demand, especially in the form of feronikel and NPI (nickel pig iron). Indonesia also exports Mixed Hydroxide Precipitate (MHP) which is then further processed into nickel sulphate, the main ingredient in the manufacture of electric car batteries (eV).

In its development, the Indonesian nickel sector is expected to increase its production capacity to produce EV batteries in the country so that it can provide an increase in domestic nickel demand in Indonesia.