Global Teleshop seeks $13m from IPO

JAKARTA: Electronic and telecommunications devices distributor PT Global Teleshop wants to raise Rp 127 billion (US$13.46 million) from its initial public offering (IPO) in July, according to one of its underwriters.

The company announced on Tuesday that it would offer 111.1 million shares, or 10 percent of its enlarged capital, at between Rp 1,000 and Rp 1,150 a share.

“Previously, the company wanted to float 20 percent. But the market has not been too conducive. The company thinks that funds from selling a 10 percent stake will be enough to support expansion,” Wientoro Prasetyo, the president director of PT Lautandhana Securindo, said.

Lautandhana Securindo is underwriting the IPO with PT Equator Securities.

Global Teleshop intends to use 60 percent of funds raised during the IPO to finance working capital and 40 percent to pay debts.

The company will have an initial offering period from July 2 to 4 and expects to list shares on the Indonesia Stock Exchange (IDX) on July 10.