Indonesia’s investment company, PT Kresna Graha Investama Tbk (KREN) is in the process of investing in Singapore based DominoPos Pte Ltd, a software development for mobile payment & CRM domain firm and MDAQ Pte Ltd, a financial technology firm, said a company official late Thursday.
Michael Steven, president director of Kresna said, the company will acquire some shares of DominoPos and MDAQ. He declined to disclose the funding outlay for both the deals because the legal process is still being carried out.
“The potential amount of shares to be purchased is about 20 per cent or below it,” Michael said.
He said MDAQ technology can be used in the capital market. Their technology allows foreign investors who want to invest in Indonesia capital market to directly buy shares in a different currency.
According to him, the Australian Stock Exchange (ASX) has been using this technology. KREN management will offer this technology to the Indonesia Stock Exchange (IDX), he added.
The process of acquisition of shares in the two companies is likely to be completed within the next two months. He expects the business start-up to bomost the company’s performance in the long term.
Recently, KREN acquired the local e-commerce company, called PT Artha Digital Media (DAM), which engages in payment solution.
Previously, John Suryandi, managing director of Kresna, said that Kresna’s cash and cash equivalents are considered sufficient to fund the shares purchase. To fund the plan, the company would launch rights issue, convertible bond and other means.
As of end June 2015, Kresna’s cash and cash equivalents amounted to Rp63.74 billion. Kresna has also established a subsidiary called PT Kresna Usaha Kreatif, that will engage in creative business including managing the group’s e-commerce business.
Steven said that the group has mandated PT Kresna Securities to prepare initial public offering (IPO) of two subsidiaries PT Kresna Life Insurance & Pension Fund and PT Kresna Usaha Kreatif.
The company mulls a plan to offer 20 per cent to 30 per cent shares to the public through IPO.He said the IPO is targeted to be realized in the fourth quarter of 2015, or no later than the first quarter of 2016.