JAKARTA - PT Jobubu Jarum Minahasa Tbk (BEER), a fermented beverage manufacturer, will change the plan of the initial public offering (IPO) proceeds utilisation from land acquisition to factory lease.

In the information disclosure quoted Wednesday (15/1), Griemaldy Kussoy, Corporate Secretary of BEER, mentioned that the company will first ask for approval from shareholders regarding the change in IPO proceeds utilisation, from land acquisition in Jakarta to leasing factory in Central Java.

As of June 2024, BEER had realised IDR 152.35 billion of its net IPO proceeds of IDR 172.53 billion. They were split to working capital worth IDR 152.15 billion and land acquisition of IDR 200 million.

Initially, the IPO proceeds allocation consisted of working capital of IDR 152.53 billion, production plant construction of IDR 10.74 billion, and land acquisition of IDR 9.23 billion.

BEER needs a more effective and efficient location to sustain the production volume of its existing product and new product such as wine.

In addition to leasing land and the factory, BEER is planning a factory renovation. Furthermore, the company is currently researching and developing several new products to be launched in 2025. (LK/ZH)