JSX gets go ahead on new listing<\/p>\n
JAKARTA (JP): The Capital Market Supervisory Agency (Bapepam)
\nsees no problem for the Jakarta Stock Exchange (JSX) to trade
\nstart-up companies.<\/p>\n
Bapepam chairman Herwidayatmo said the agency had yet to
\ndecide whether the JSX could go ahead with its new listing
\nregulation but he added that he personally had no objection to
\nthe plan.<\/p>\n
"I hope my office can come up with the approval (on the new
\nregulation) promptly so that it can be implemented before the
\nsecond week of June," he told The Jakarta Post on the weekend.<\/p>\n
The JSX management is proposing a change in the listing
\nrequirement to allow new startups to list their shares on the
\nexchange.<\/p>\n
Under the new regulation, however, the shares of the newly
\nestablished companies, or others with no profit track records,
\nwill be traded on a different board.<\/p>\n
Herwidayatmo said the change in the listing regulations was
\nproposed by the JSX authority last week as a response to the
\nincreasing demand from newly established Internet companies.<\/p>\n
He said he supported the idea but warned that investors should
\nbe aware of the nature of the companies and the risk in investing
\nin such companies.<\/p>\n
Nevertheless, the leeway to be given to newly set up companies
\nthrough the new regulation is expected to help accelerate the
\nrecovery of business activities in the country, he added.<\/p>\n
He acknowledged that many newly set up companies saw the
\nexisting listing regulations as a barrier to business progress
\nbecause they had to wait for at least two years before they could
\nlist on the more popular and liquid JSX market.<\/p>\n
The newly set up companies mostly opted to delay their listing
\nplans or look for a chance to list on overseas stock markets
\nrather than go to the other local stock market, the Surabaya
\nStock Exchange (SSX), which already allows new companies to list
\nthere, he said.<\/p>\n
SSX is somehow seen by many companies as less promising to
\nhelp lead them through a liquid market, Herwidayatmo said.<\/p>\n
It is expected that the implementation of the new listing
\nregulations will receive a warm welcome especially from the local
\nnewly established Internet-based companies, most of which have
\nannounced their plans for listing on local or overseas stock
\nmarkets to raise more funds to finance expansion.<\/p>\n
Among the Internet startup companies that have confirmed their
\nplans for listing this year are news portals Astaga!com and
\nSatunet, as well as Internet software developer Myohdotcom and
\ngeneral portals Indonesia Net Exchange and Kopitime.com. (cst)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/jsx-gets-go-ahead-on-new-listing-1447893297",
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