The shares of Saraswanti Anugerah, listed by Indonesia Stock Exchange (IDX) under the code SAMF, rose by 35 percent to Rp 162 per share from Rp 120 just a minute after trading opened, showing that there is still appetite for newcomers.

The company’s share performance in the local bourse was helped by a slight recovery on large stocks on the exchange in the morning session. The Jakarta Composite Index (JCI), the main gauge on the IDX, had gained 1.7 percent before the afternoon break after losing 2.8 percent on Monday. Despite the increase, the index has lost about 28 percent of its value so far this year.

Saraswanti Anugerah president director Yahya Taufik said in a press release published on Tuesday that, despite global and domestic upheaval due to the COVID-19 pandemic, the initial public offering (IPO), which was held from March 26-27, “ran smoothly”.

“The high public enthusiasm toward the company’s IPO shows a high level of trust and expectations the public has in the stock market in general and specifically in the business prospects of the company,” Yahya said in a written statement.

During its IPO, the company raised about Rp 93 billion (US$5.68 million) worth of funds.

The company will allocate 50.22 percent of its proceeds to increase the company’s and its subsidiaries’ working capital, while the remaining 49.78 percent of the funds will be used to finance its subsidiaries’ capital expenditure to increase its production capacity.

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