Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Exclusive: Indonesia e-commerce giant Tokopedia aims for $1 billion dual U.S., domestic IPO - sources

Published 12/18/2020, 03:41 AM
Updated 12/18/2020, 03:45 AM
© Reuters. FILE PHOTO: Founder and CEO of Indonesian e-commerce firm Tokopedia, William Tanuwijaya, pictured at Tokopedia headquarters in Jakarta

© Reuters. FILE PHOTO: Founder and CEO of Indonesian e-commerce firm Tokopedia, William Tanuwijaya, pictured at Tokopedia headquarters in Jakarta

By Anshuman Daga

SINGAPORE (Reuters) - Indonesia's Tokopedia is lining up an initial public offering (IPO) worth at least $1 billion next year, two people with knowledge of the matter said, in what could be the biggest overseas listing by a Southeast Asian start-up.

The country's biggest e-commerce firm is planning a dual listing in the United States and Indonesia for 2021, the sources told Reuters. One person said the firm could be valued at $10 billion or more through the IPO plan.

The sources, who declined to be identified as they were not authorised to speak to media about the matter, said the listing is subject to market conditions.

The dual listing plan is designed to help the company, which operates a platform for online stores, tap deep-pocketed U.S. investors with strong enthusiasm for tech-related stocks, while burnishing Tokopedia's credentials as a home-grown Indonesian champion, the sources said.

If successful, Tokopedia would be the second firm to have a U.S.-Indonesian listing after state-backed PT Telekomunikasi Indonesia.

One of the sources said Tokopedia would use the funds from the listing to expand its business and help create liquidity for its shares.

Founded in 2009 and now the e-commerce leader in a country with a population of nearly 270 million, Tokopedia has previously raised more than $2 billion in total from companies including global tech investment firm SoftBank Group Corp, Chinese e-commerce giant Alibaba (NYSE:BABA) Group Holding and Singapore state investor Temasek Holdings.

Asked to comment on the listing plans, Tokopedia referred Reuters to a statement issued earlier this week in which it said an indirect listing via a special purpose acquisition company was an option, but it had not decided yet on the market or the method.

Reuters had reported that Tokopedia received a merger approach from a blank-cheque acquisition firm backed by Asian tycoon Richard Li and Silicon Valley investor Peter Thiel, but the start-up had not decided on a deal.

Since founding Tokopedia, Chief Executive William Tanuwijaya, 39, has become a poster child for Indonesia's burgeoning tech sector.

© Reuters. FILE PHOTO: Founder and CEO of Indonesian e-commerce firm Tokopedia, William Tanuwijaya, pictured at Tokopedia headquarters in Jakarta

But the firm is facing increasing competition from well-funded rivals such as internet company SEA Ltd's Shoppee, the biggest e-commerce platform in Southeast Asia, and Alibaba's own Lazada arm.

Latest comments

Should be 10 billion instead of 1 billion
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.