In the midst of global economic uncertainty and increasing investor\ncaution, the quality of corporate governance is considered an\nincreasingly decisive factor in a company\u2019s success in entering the\ncapital market. Strong governance is even deemed more important than\nsimply chasing market momentum when a company plans an initial public\noffering (IPO).<\/p>\n
Meanwhile, SW Indonesia Chief Executive Officer Michell Suharli\nassessed that the greatest benefit of an IPO often emerges before the\ncompany is officially listed on the exchange. \u201cIPO is not just about\nselling shares. IPO is a process of corporate transformation,\u201d he said\nat a seminar titled IPO Readiness: Strengthen Investor Relations and\nCorporate Governance held by the Indonesia Stock Exchange (BEI) in\ncollaboration with SW Indonesia at the Main Hall of the Indonesia Stock\nExchange, Jakarta, Wednesday (10\/6\/2026).<\/p>\n
According to Michell, a company preparing for an IPO is essentially\ncarrying out a comprehensive overhaul of the organisation. They\nstrengthen governance, improve reporting quality, enhance internal\ncontrols, build risk management discipline, and increase organisational\nprofessionalism.<\/p>\n
Therefore, IPO Readiness should be viewed as a strategic investment,\nnot a cost. \u201cA healthy company creates jobs. A healthy company pays\ntaxes. A healthy company creates innovation. A healthy company enhances\nnational competitiveness,\u201d Michell said.<\/p>\n
Chairman of the Indonesian Institute for Corporate Directorship\n(IICD) and Minister of Communication and Information Technology for the\n2014-2019 period, Rudiantara, asserted that corporate governance can no\nlonger be seen merely as a compliance obligation or regulatory\nfulfilment. According to him, investors today are not only looking at\ncompany revenue and profit growth.<\/p>\n
Investors are also increasingly paying attention to the quality of\ndecision-making, risk management, transparency, accountability, and the\ncompany\u2019s ability to maintain long-term business sustainability.\n\u201cInvestors are not only assessing financial performance. They are also\nassessing how the company is managed, how risks are controlled, and\nwhether the organisation has a sufficiently strong foundation to grow\nsustainably,\u201d said Rudiantara.<\/p>\n
He added that companies wanting to enter the capital market must\nbegin to transform from founder-centric businesses into institutions\nsupported by systems, governance, and professionalism. According to\nRudiantara, companies that are able to build good governance will have a\nhigher level of resilience in facing economic changes, technological\ndisruption, and increasingly complex competitive pressures.<\/p>\n
Vice Director of Listed Companies Development at the Indonesia Stock\nExchange, Listyorini Dian Pratiwi, stated that although the success of\nan IPO is influenced by market momentum, IPO preparation should not wait\nfor ideal market conditions. \u201cAn IPO does depend somewhat on momentum.\nHowever, it is never too early to make IPO preparations, so that under\nany conditions these preparations can still be carried out,\u201d she\nsaid.<\/p>\n
According to Listyorini, companies that wish to become issuers must\nstrengthen various fundamental aspects, ranging from business\noperations, financial reporting, legal and tax compliance, to corporate\ngovernance. Besides governance, the Investor Relations function is also\nconsidered increasingly strategic in the IPO process. Investor Relations\nno longer merely functions as a channel of corporate communication, but\nrather becomes a bridge connecting the company with investors before,\nduring, and after the IPO.<\/p>\n
Before the IPO, investor relations plays a role in building company\ncredibility and crafting an equity story that can explain the business\nvalue to investors. During the IPO process, this function helps ensure\nthat the company\u2019s strategy and prospects are accurately understood by\nthe market.<\/p>\n
After the company is listed on the exchange, investor relations plays\na role in maintaining investor trust through information disclosure and\nconsistent communication. \u201cNo matter how big the fish is in the pond, if\nit is never shown, it will not be seen,\u201d said Listyorini.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/sw-indonesia-ipo-is-a-process-of-corporate-transformation-1781153460", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }