JAKARTA - Pharmaceutical company PT Brigit Biofarmaka Teknologi Tbk (OBAT) will hold an IPO whose value exceeds its total assets.

In the prospectus submitted, OBAT will release as many as 170 million shares. This amount is equivalent to 28.33% of the company's issued and fully paid capital after the IPO.

Each share has a nominal value of IDR 50, and will be offered at a price range of IDR 330 to IDR 350 per share. Assuming the offering price is at the upper limit, OBAT has the potential to reap fresh funds of up to IDR 59.5 billion

The IPO value of OBAT shares is fairly large. Considering that its total assets as of June 30, 2024 were only IDR 52.08 billion. The company's total assets consist of current assets of IDR 29.09 billion and non-current assets of IDR 22.99 billion. Meanwhile, its total equity amounted to only IDR27.47 billion.

The underwriter in the OBAT IPO is PT Oso Sekuritas Indonesia. The initial offering period (book building) of shares took place on December 18-23, 2024. The public offering is scheduled for January 3-7, 2024 and listing on the Indonesia Stock Exchange (IDX) on January 9, 2024.

For the record, the business fields run by OBAT are herbal makloon, cosmetics, and functional and botanical drinks. Broadly speaking, the IPO proceeds will be allocated to purchase raw materials, increase production capacity, and develop marketing. (KR/LM)