EXCLUSIVE Indonesian GoTo IPO books covered, to raise at least $1.1bn – sources

SINGAPORE, March 24 (Reuters) – GoTo Group, Indonesia’s biggest tech company, has received enough orders from investors for its IPO that could raise at least $1.1 billion within its target price range , two sources familiar with the matter said on Thursday.

The sources, who declined to be identified as they were not authorized to speak to the media, said the offer had received support from long-term investors, such as the Indonesian units of fund managers Schroders ( SDR.L) and Eastspring Investments.

GoTo, formed last year by the merger of ride-hailing payments company Gojek and e-commerce leader Tokopedia, surprised some investors and analysts when it launched its IPO process last week, braving turbulence in global stock markets.

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GoTo’s offering attracted strong institutional demand in the bookbuilding process despite global market volatility amid the Russia-Ukraine crisis and weak investor appetite for tech stocks that beat peer stocks of Goto in Southeast Asia.

GoTo, which is backed by SoftBank Group Corp (9984.T), Alibaba Group (9988.HK) and Singapore’s sovereign wealth fund GIC, declined to comment.

There was no immediate response to requests for comment from Reuters sent to the Indonesian unit of Schroders and Eastspring Investments outside business hours in Asia.

GoTo’s IPO is expected to price in early April and will then be open to retail investors.

Last week, GoTo said it was aiming to raise at least 15.2 trillion rupees ($1.1 billion) by offering 48 billion new Series A shares in a price range of 316 rupees to 346 rupees. per share.

The proposed shares represent up to 4.35% of its enlarged capital.

GoTo had said it was to be valued between $26.2 billion and $28.8 billion, a valuation that would make it Indonesia’s fourth-largest listed company.

Its IPO, which marks the second-biggest fundraising for an Indonesian tech company, comes after GoTo secured $1.3 billion in a pre-IPO funding round at the end of 2021, when the Abu Dhabi Investment Authority became the main investor. Read more

With over 2.5 million registered partner drivers, 14 million registered merchants and 55 million users transacting annually as of September 30, GoTo’s businesses straddle the millions of small and medium enterprises in the Indonesian economy.

Shares of GoTo competitor internet services company Sea Ltd (SE.N) have plunged since late last year, while shares of Grab Holdings have also slumped since the company went public in the States United last year after a record $40 billion merger with a blank check. solidify.

($1 = 14,344.0000 rupees)

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Reporting by Anshuman Daga; Additional reporting by Stefanno Sulaiman in Jakarta and Fanny Potkin in Singapore. Editing by Jane Merriman

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