Bukalapak Aims Expansion After Shifting IPO Proceeds Allocation

By Editorial Team 27/12/2021
financial analysis
Summary

Elang Mahkota Teknologi Group's technology company PT Bukalapak.com Tbk (BUKA) obtained shareholders' approval to change the use of proceeds from the initial public offering (IPO). Bukalapak raised Rp 21.9 trillion in fresh funds in Indonesia's largest IPO in August, issuing 25.77 billion shares to the public.

Bukalapak President Director Rachmat Kaimuddin said the company changed its plan to use IPO proceeds to focus on its growth and subsidiaries. "The company and its subsidiaries can grow better in the future and develop sustainably. The company and its subsidiaries also manage the costs incurred efficiently," Rachmat said in a press statement Thursday.

The following are the details of Bukalapak's IPO proceeds use plan:

  • The company will use about 33 percent of its working capital.
  • Approximately 34 percent will be used for the working capital of Subsidiaries, including:
    • Around 15 percent for PT Buka Mitra Indonesia;
    • Around 15 percent for PT Buka Usaha Indonesia;
    • About one percent for PT Buka Investasi Bersama;
    • About one percent for PT Buka Pengadaan Indonesia;
    • About one percent for Bukalapak Pte Ltd.; and
    • About one percent for PT Five Jack.

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