The upstream unit of Indonesia’s Pertamina, Pertamina Hulu Energi, has delayed its initial public offering (IPO) plan over an administrative issue, the country’s Financial Services Authority (OJK) said on Monday.
The delay concerned which month’s financial results Pertamina Hulu Energi would use for its IPO, said Inarno Djajadi, head of capital market supervision at OJK.
Inarno said initially Pertamina Hulu Energi wanted to use its financial results as of June 2022. However, the company decided to use its results as of December 2022.
OJK said Pertamina Hulu Energi would submit the necessary documents to launch the IPO in March 2023. The company had previously not given a specific IPO target date.
Pertamina Hulu Energi is expected to sell a 10%-15% stake in the IPO. Previously, two sources with knowledge of the matter told Reuters that the company might earn up to $2 billion from the share offer.
According to a term sheet seen by Reuters, Citigroup, Credit Suisse and JPMorgan are joint bookrunners, along with Indonesia’s BRI Danareksa and Bank Mandiri.