Indonesia may introduce norms for dual-class shares this year

An electronic board at the Indonesia Stock Exchange (IDX) in Jakarta. REUTERS/Beawiharta

Indonesian authorities are discussing new guidelines on topics such as dual classes of shares for companies, with the measures likely to be rolled out this year, a stock exchange official said on Friday.

The comments come as bankers and investors expect a wave of listings on the Indonesia Stock Exchange (IDX) over the next couple of years, led by tech firms that have benefited as consumers flocked to digital platforms during the pandemic.

Indonesian authorities are trying to sort out issues related to the ratio of voting rights and the duration of such rights, among others, said Pandu Sjahrir, a commissioner at IDX.

“There are a couple of key things that people are looking at – the (ratio of) voting rights … and how long the founders’ shares last,” Sjahrir said at DealStreetAsia’s PE-VC Summit 2021.

The launch was taking time as the exchange worked with authorities to ensure investor protection upon introduction of the rules, which will also ease curbs on loss-making firms, among other steps, he said at the event.

The flurry of investor activity led to Indonesia’s biggest listing, with e-commerce firm Bukalapak making its debut in August after raising $1.5 billion.

That month Reuters reported Indonesia’s Financial Services Authority was weighing new listing guidelines for tech firms to offer dualclass shares with different voting rights.

Reuters also reported on a pre-IPO funding exercise by Indonesia’s biggest tech group, GoTo, to raise up to $2 billion, but said regulatory delays threatened to push the listing plans to early next year.

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.