Blibli Owner Seeks $530 Million in Indonesia’s Second-Largest IPO of 2022

Fathiya Dahrul and Filipe Pacheco, Bloomberg News

Signage is displayed inside the Indonesia Stock Exchange (IDX) in Jakarta, Indonesia, on Thursday, April 18, 2019. With Indonesian President Joko Widodo on course to win a second term as leader, the political uncertainty that's weighed on the economy this year will be lifted. Photographer: Dimas Ardian/Bloomberg , Bloomberg

(Bloomberg) -- Global Digital Niaga PT, the owner of e-commerce group Blibli, is set to raise up to 8.17 trillion rupiah ($530 million) through an initial public offering, poised to be Indonesia’s second-largest this year.

The firm is offering as many as 17.77 billion new shares, or a 15% stake, at a price between 410 rupiah and 460 rupiah apiece, according to a prospectus published on Monday. This values the group at up to $3.5 billion.

Bookbuilding ends on Oct. 24, with tentative offering period between Nov. 1-3. It is expected to list on Nov. 7.

Even if priced at the bottom of the marketed range, it is set to be the largest IPO in the Southeast Asian country after tech company PT GoTo Gojek Tokopedia Tbk raised $959 million in an April listing. Since then, Indonesia’s exchange hasn’t hosted any new equities sale larger than $100 million as proceeds slumped globally amid a spike in volatility, high inflation and rising rates.

Global Digital Niaga, which is controlled by Djarum Group, aims to use the proceeds to repay debt and for working capital. There is a 12-month voluntary lock-up period on the company, and an eight-month mandatory lock-up for principal and other existing shareholders, according to terms of the deal obtained by Bloomberg News.

Shares of PT Supra Boga Lestari Tbk, a food seller in which Blibli is a main shareholder, jumped as much as 25% in Jakarta on Monday following news of the IPO.

Joint bookrunners in the offering are BRI Danareksa Sekuritas PT, BCA Sekuritas PT, Credit Suisse Group AG, Morgan Stanley and DBS Group Holdings Ltd.

(Adds stock performance of Blibli’s unit in sixth paragraph)