JAKARTA – PT Hero Global Investment Tbk (HGII) has begun its Initial Public Offering (IPO) period today (3/1) until January 7, and the company will list its shares on Thursday, January 9, 2025.

Hero Global Investment is a holding company in the new and renewable energy sector (NRE). To date, the company operates two Mini Hydro Power Plants (PLTM) in Parmonangan, North Sumatra, and one Biogas Power Plant (PLTBg) in Ujung Batu, Riau.

According to its official website, HGII plans to expand its renewable energy portfolio, which includes 58 MW of hydroelectric power, 8 MW of biomass, 6 MW of biogas, and 10 MW of solar power.

Supported by PT OCBC Sekuritas Indonesia and PT UOB Kay Hian Sekuritas as underwriters, HGII is offering 1.3 billion shares at Rp200 per share, aiming to raise up to Rp260 billion through the IPO.

In line with its plan to expand its renewable energy portfolio, HGII will allocate 66.82% of the IPO funds to its subsidiary, PT Siantar Sitanduk Energi (SSE), for the development of a 25 MW Hydroelectric Power Plant (PLTA) in North Sumatra.

Additionally, 31.45% of the IPO proceeds will be channeled to PT Multiprima Hidro Energi (MHE), another subsidiary that will develop a 10 MW Mini Hydro Power Plant (PLTM) in North Sumatra.

"Approximately 1.73% will be used as working capital to support the core business activities of the company group," management revealed in HGII's IPO prospectus.

According to IDNFinancials, HGII has already attracted interest from Japanese investor Shikoku Electric Power. The company is reported to be purchasing a 25% stake in HGII through its subsidiary, SEP International Netherlands B.V. (SEPI), no later than one month after HGII's IPO.

As of June 2024, HGII recorded assets of Rp727.9 billion and equity of Rp469.6 billion. Although revenue saw a slight decline of 6.1% year-on-year (yoy) to Rp56.5 billion, net profit surged by 22.3% yoy to Rp26.3 billion. (ZH)