Indonesia’s GoTo closes in on $2b funding round, IPO may be delayed to 2022

GoTo is set to complete pre-IPO funding round in October to raise around $1.5 billion with Abu Dhabi Investment Authority (ADIA) and Singapore's Temasek lead, sources said.

Indonesia’s biggest tech group GoTo is set to complete a pre-IPO funding exercise to raise up to $2 billion in the next few weeks, but regulatory delays threaten to push its listing plans to early next year, three sources familiar with the matter said.

The delay comes as the southeast Asian nation’s Financial Services Authority (OJK) weighs new listing guidelines for tech firms to offer dual-class shares that confer different voting rights, said two of the sources.

All the sources sought anonymity as they were not authorised to speak to the media.

A spokeperson for GoTo declined to comment while there was no immediate comment from the regulator, OJK.

GoTo, formed through the merger of Gojek and e-commerce leader Tokopedia in May, was targeting to list in Indonesia by year-end, followed by a US listing, with a potential valuation of about $40 billion.

However, delays to a proposed revamp of Indonesia’s listing rules, now expected to be unveiled late in September, mean GoTo is only likely to launch its IPO early next year, followed by the U.S. listing.

One of the sources said the effort to raise funds of $1.5 billion to $2 billion ahead of the IPO exercise drew strong demand, and could be completed next month.

GoTo, backed by investors such as Alibaba Group Holding, Softbank Vision Fund, and Singapore wealth fund GIC, is among the companies benefiting from greater use of digital platforms by consumers stuck at home by pandemic lockdowns.

The surge in investor interest helped e-commerce firm Bukalapak.com to raise $1.5 billion last month in Indonesia’s biggest IPO.

But since its listing this month, shares of Bukalapak have shed about 30% from record highs, to close on Thursday at just 5% above the IPO price of 850 rupiah.

Reuters

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.