“Road to IPO for Mining Industry”

PT BURSA EFEK INDONESIA

Micromine Mining Conference 2021

29 June 2021
Indonesia Capital Market
Capital market function to bridge suppliers of capital and those who need investment platform
for their capital, in the form of equity backed securities and/or long-term debt securities.

ISSUER INVESTOR

Parties who
Party who in
need investment
need of capital
platform

Regulator Securities Firms

Otoritas Jasa Keuangan Underwriter, Broker, etc.

Self Regulatory Organization Capital Market Supporting

IDX, KPEI and KSEI Institutions & Professions
Notary, Public Accountant, Legal Firm,
etc.

FOR DISCUSSION PURPOSES ONLY | 5

Equity IPO trend
The number of listed companies increased sharply for the last three years and the highest among ASEAN

YTD June 2021

Number of IPO in 2019
Number Number of IPO Total Value of New Issue Value 55
of IPO (IDR Tn)

60 57 25
55 30 28
51
50 13
20
4

40 37 Indonesia Malaysia Thailand Singapore Philippines

15
31
30 28
23 Number of IPO in 2020
25 24 25 Companies on
the Pipeline 10 51
20 18
16 15

5 28
10
18
11
0 - 3
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Jan- YTD
Jun '20 Jan- Indonesia Thailand Malaysia Singapore Philippines
Jun '21
Source: IDX, WFE
FOR DISCUSSION PURPOSES ONLY | 7
Listed Mining & Supporting Companies at a Glance

Minerba Companies at IDX*)

There are 36
Minerba companies
(equivalent to 5%) out of 732 total
listed companies
5%
Total Minerba Market Cap listed

companies Rp188,5 T
Minerba Companies by type of instrument at IDX*)

31 STOCKS
A total of 31 minerba companies
issued stock in Indonesia Stock
Bonds Exchange.
Stocks
05 STOCKS AND BONDS
A total of 5 minerba companies
issued both stocks and bonds in
There are 6 mineral and coal companies (equivalent to 13.3%) that
Indonesia stock exchange. are included in the LQ45 index.
*) data as of June 2021

FOR DISCUSSION PURPOSES ONLY | 10

 Unlimited Enhance Improve
Source of Company’s Company’s
Funds Performance Image

BENEFIT OF GOING PUBLIC Employees with

High Loyalty and
Professionalism

Avoid family Provide liquidity

Accelerate the
for owner,
Tax Incentive ownerships’ Implementation
investor &
conflict of GCG
employee

Getting Ensure Optimal Valuation

for
Strategic Business the Company &
Partnership Continuity the Founders
FOR DISCUSSION PURPOSES ONLY | 12
IPO & LISTING PROCESS
IPO
PROSPEKTUS PROCEED

PREPARATION EVALUATION BOOK BUILDING IPO LISTING

Internal and documents

preparation, helped by Evaluation Process Demand Pooling
& pricing Initial Public Listing & trading
underwriter & supporting by OJK & BEI
professions
Offering( Primary (Secondary Market)
Market)

Registration
Statement Pre-effective
Statement
Preliminary
Agreement Effective
Application to IDX Listing Approval
Principle Statement
Collective Stock Approval
Deposit Request to
KSEI

e-Registration e-IPO PRIMARY MARKET SECONDARY MARKET

Duration Process: varies Duration Process: ± 3-4 months

*Depends on internal readiness

of the company
FOR DISCUSSION PURPOSES ONLY | 13
EQUITY LISTING REQUIREMENT ON IDX*) FOR DISCUSSION PURPOSES ONLY | 14

EQUITY LISTING BOARD

CRITERIA MAIN BOARD AC C E L E R AT I O N B OA R D
DEVELOPMENT BOARD
Incorporated Perseroan Terbatas (PT) Perseroan Terbatas (PT) Perseroan Terbatas (PT)
GOVERNANCE
CORPORATE

Independent Commissioner Yes (Min. 30%) Yes (Min. 30%) Yes, with 6-12 months transition / adjusting time
GOOD

Audit Committee &

Unit of Internal Audit Yes Yes Yes, with 6-12 months transition / adjusting time

Corporate Secretary Yes Yes Yes, with 6-12 months transition / adjusting time

Operational Lifetime Generated revenue

> 36 Months > 12 Months
(posted operating revenues) in the last commercial year
ACCOUNTING & FINANCE

May experience loss May experience loss

Operating Profit > 1 Year but should have been operating & net profit but should have been operating & net profit within
within 2 or 6 years based on projection 6 years based on projection
Audited Financial Report Min. 3 Years Min. 12 months
Min. 12 Months (1 Year Unqualified Opinion) (unqualified opinion)
(2 Years Unqualified Opinion)
NTA* > Rp5 billion
OR Not applicable
Capital NTA* > Rp100 billion Op. Profit > Rp1 B & MarCap > Rp100 B (in compliance with POJK 53: Asset < Rp250
OR billion)
Revenue > Rp40 B & MarCap > Rp200 B

Min. 300mn shares: Min. 150mn shares:

CAPITAL STRUCTURE

Equity Total Share Equity Total Share

Number of owned shares
by non controlling & non < Rp500 Billion 20% < Rp500 Billion 20% Min. 20%
majority shareholder Rp500 B - Rp2T 15% Rp500 B - Rp2T 15%
> Rp2 Trillion 10% > Rp2 Trillion 10%

Number of Shareholder ≥ 1,000 parties ≥ 500 parties ≥ 300 parties

IPO Share Price ≥Rp100 ≥Rp100 ≥ Rp50
*NTA (Net Tangible Asset) : Total Asset – Intangible Asset – Deferred Tax Asset– Total Liabilities – Non-Controlling Interest
Additional Listing Requirement for Minerba Companies*)

In Accordance with I-A.1 Listing Rules

Exploration Operation Production Sales stage

Minerba Company
General : 1 Appointment of
company’s Technical
2 Mining
Business
License
3 Has proven & probable
reserve signed by
4 Has Clean and Clear
Statement from Ditjen
Requirements Director
(“IUP”)
Competent Person Minerba

*) Additional
requirements for
Minerba Companies that:
:
1 Feasibility Study
signed by
2 Mining Business
License – Production
3 Business
Feasibility Study
- Have not started production Competent Person Operation (“IUP-OP”) done by appraisal

4 5 6
stages, or
- Have started production Work Plan and
Profit Statement of Information
stages but have not booked Validity and Relevancy Budget submitted
Projection to authorized
revenue signed by Competent
on 4th years Person (1-year max) institution

FOR DISCUSSION PURPOSES ONLY | 15

 “The good parts about being a public
company are increased discipline,
increased execution and increased
transparency to make sure that you
are really building a company for a
hundred years” – Dan Rosensweig

INFORMASI LEBIH LANJUT

DAPAT MENGHUBUNGI:

PT BURSA EFEK INDONESIA

DIREKTORAT PENILAIAN PERUSAHAAN
JAKARTA
GEDUNG BEI TOWER 1, LANTAI 4
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