The Indonesian Employers Association (Apindo) revealed that 100 companies have big potential to enter Indonesian capital market managed by Indonesia Stock Exchange (IDX). Based on the size of the company there are about 500 companies which able to enter the stock exchange. Apindo believes this year is the best condition for companies to enter the capital market, marked by the composite growth trend of the composite stock price index (JCI) since the beginning of the year.
The rise of JCI shows an increase in the market capitalization of issuers in the stock exchange, but it also depends on the performance of the company. For example, from around 19 companies that have reporting their annual financial statements recently, their revenue growth accounted for 21% or the largest in ASEAN.
On the other hand, the rapid development of enterprise-based startup technology has not yet supported the readiness to enter the capital market. According to the Jakarta Founder Institute (JFI), the maturity of startup industry in Indonesia is still far compared to developed countries like the United States that have been operating for decades.
In addition, capital market authorities in developed countries are also more established than Indonesia, with capital market rules that facilitate startup to seek additional capital in the stock market. However, compared to ASEAN countries, Indonesia is actually not too far behind because the capital market and the government are still designing the best IPO scheme for startup.
Disclaimer: This article is a summary of news articles obtained by Smartcolaw from a number of mass media. Smartcolaw is not responsible for the accuracy of data or sources of information presented by the mass media that became the reference.
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