GoTo, Indonesia’s biggest startup, plans to raise up to $1.3 billion in an IPO to shake off a global slump in tech stocks and attract investors looking to capitalize on the country’s booming digital economy.
The group, formed last year after a $18 billion merger of Superapp Gojek and e-commerce company Tokopedia, announced on Tuesday that they plan to sell up to 52 billion shares in a listing on the Indonesian Stock Exchange next month.
The IPO follows a wave of fundraising by Indonesian startups, including recent ones listing of the e-commerce company Bukalapak, the largest to date on the Indonesian stock exchange.
GoTo raised $1.3 billion in private equity investment round of financing in November, led by the Abu Dhabi Investment Authority, which valued the company at $28.5 billion, according to people familiar with the deal.
Investor interest in Indonesia’s tech companies has increased amid the country’s rapidly growing number of internet users. Groups like SoftBank, Facebook, Microsoft, Tencent, Alibaba, Google, and private equity firms KKR and Warburg Pincus all have supported local start-ups.
GoTo has built a large customer base by providing ridesharing, meal delivery and payment services to people in the world’s fourth most populous country. After demand for its services boomed during the lockdown, the company said it had 100 million monthly users.
The IPO will be another win for the Indonesian stock exchange that has been striving for it Curls keeping more local tech companies out of overseas markets through looser regulations, including allowing dual-class shares, which give founders greater control over their companies.
But it will come amid a sharp sell-off in tech stocks this year as investors exit the high-growth sector on anticipation of rising rates. Investors are also increasingly concerned about the ability of Southeast Asia’s biggest tech companies to turn a profit.
Shares of GoTo’s Singapore-based competitor Grab hit a low this month after the company reported a $3.6 billion annual loss. Bukalapak shares have lost more than 70 percent of their value since listing in August.
“Indonesia and Southeast Asia are some of the most exciting emerging markets in the world,” said Andre Soelistyo, GoTo CEO.
Your definitive guide to the billions being made and lost in the world of Asia Tech. A curated menu of exclusive news, crisp analysis, smart data and the latest tech buzz from FT and Nikkei
Indonesian superapp GoTo looks to raise $1.3bn in IPO Source link Indonesian superapp GoTo looks to raise $1.3bn in IPO