Can an IPO Be Postponed? Here Are 4 Reasons and the Impact on Investors
Some issuers are planning an IPO, and you may have already prepared funds to purchase their initial shares. However, it turns out the IPO has been postponed from the previously set date. As an investor, you might feel helpless regarding these changes to the IPO schedule.
In reality, an IPO can indeed be postponed from its scheduled date. An announced IPO schedule is not set in stone. Under certain conditions, a company may delay its public offering or even cancel the IPO, following capital market regulations and oversight from regulators.
This recently occurred with PT Swayasa Prakermsa Tbk (SWAP). SWAP’s IPO plan, originally scheduled for 2–8 September 2026, has been postponed. The Indonesia Stock Exchange (IDX) stated that as of 1 September 2026, SWAP had not yet obtained an Effective Statement from the Financial Services Authority (OJK) to proceed with the public offering.
Furthermore, SWAP utilised financial statements as of 28 February 2026 for its IPO process, which were only valid until 31 August 2026. This situation requires the company to update its data and re-meet certain requirements before proceeding with the public offering.
So, what causes an IPO to be delayed, and what should investors do? Here is the explanation.
Can an IPO be postponed?
Certainly, an IPO can be postponed, but such a delay does not mean a company is free to change its schedule at will. It is important to remember that the IPO process involves several stages and critical dates, including the bookbuilding period, the effective date, the public offering period, allotment, share distribution, and the listing on the Indonesia Stock Exchange (IDX).
Under certain circumstances, the public offering period may be delayed or even cancelled. Provisions regarding this are contained in capital market regulations and are usually detailed in each company’s IPO prospectus. The regulations regarding the postponement or cancellation of a Public Offering period are governed by the OJK, specifically under Bapepam-LK Regulation Number IX.A.2 concerning Procedures for Registration in the Context of a Public Offering.
Under that regulation, specifically section 6, it states: “Within the period from the effectiveness of the Registration Statement until the end of the Public Offering period, an Issuer may postpone the Public Offering for a maximum of 3 (three) months from the effectiveness of the Registration Statement or cancel the Public Offering…”
The OJK explains that under certain conditions, the public offering period may experience delays. According to OJK documents, these conditions relate to circumstances beyond the company’s control, such as a significant decline in the JCI (IHSG), natural disasters, war, riots, fires, strikes, or other events that significantly impact business continuity.
Therefore, the IPO date listed in a prospectus should be viewed as a schedule that is subject to change if prevailing conditions and regulations necessitate it.
There are several reasons why a company might postpone an IPO:
- Unfavourable Stock Market Conditions
One of the most common reasons is that market conditions are deemed non-conducive. Companies typically consider the performance of the JCI, investor sentiment, market volatility, and interest in new stocks before executing an IPO. When market conditions are under pressure, the offered share prices may fail to reflect the valuation the company expects.
According to Bloomberg Technoz, the IDX has acknowledged that many companies choose to postpone their corporate actions due to market conditions. It is worth noting that the journey towards an IPO requires a long preparation period of approximately 1–2 years. In 2026, the target for adding new issuers reaches 50. However, the IDX must continue to evaluate this target, focusing on the quality of issuers rather than just quantity.
- Failure to Obtain an Effective Statement from the OJK
An IPO cannot proceed simply because a company has set a schedule. A company must obtain an effective statement from the OJK before conducting a public offering. If the effective statement is not obtained by the planned schedule, the IPO may be delayed.
An example is PT Swayasa Prakarsa Tbk (SWAP). The company was previously scheduled to conduct its public offering on 2–8 September 2026, but the plan was postponed because it had not yet received the OJK’s Effective Statement. As reported by Berita Suara, this health product manufacturing company, owned by Universitas Gadjah Mada, faced issues in its IPO process due to the lack of this statement.
In addition to the missing Effective Statement, SWAP’s administrative process was still using financial statements as of 28 February 2026, which were only valid until 31 August 2026. The IPO process requires various documents, including financial reports, legal aspects, material information, and other supporting documents. If regulators request additional or corrected documents, the IPO process can become longer.
Bloomberg Technoz reports that the IDX explained in 2023 that several IPO delays occurred because prospective issuers still needed to adjust their financial statements and legal documents. If the financial statements used have exceeded the permitted period, companies may need to prepare the latest financial reports. Thus, an IPO postponement does not always mean a company is experiencing business problems; it may simply relate to administrative, legal, or regulatory compliance processes.
- Events Affecting the Company’s Condition
As mentioned above, an IPO can be postponed if events occur that have a significant impact on the company’s business continuity, such as natural disasters, war, riots, or fires.