Start-ups need one year for JSX listing

Start-ups need one year for JSX listing

JAKARTA (JP): President of the Jakarta Stock Exchange (JSX)
Mas Achmad Daniri said on Monday that start-up companies should
have been established for a minimum of one year to qualify for
listing on the exchange.

"These companies have to be established for at least one
year," Daniri said on the sidelines of an e-commerce seminar
arranged by the Indonesian Management Institute (IPMI).

During the one-year period, companies should also have been
involved in their core businesses for at least six months, Daniri
added.

The exchange is still waiting for approval from the Capital
Market Supervisory Agency (Bapepam) to revise its listing
regulations to accommodate start-up Internet companies.

Under the draft revision regulation, trading will be divided
onto two boards -- a main board and a development board.

Start-up companies (also called new economy stocks), which
include Internet and mining companies, will be listed on the
development board, according to the draft.

Companies on the development board have to have at least Rp 10
billion total assets.

By contrast, companies on the main board must have a total
assets of at least Rp 300 billion, a minimum annual gross income
of Rp 20 billion and minimum accumulated profits of Rp 30
billion, the draft states.

Aprt from a ruling stipulating that 60 percent of their
revenue has to come from their core business activities,
companies to be listed on the main board are also required to
have booked profits for the last two consecutive years.

The ownership of non-affiliated shareholders of the listed
companies, both on the main board and the development board,
should be at least 35 percent.

The exchange and the Capital Market Supervisory Agency
(Bapepam) are holding a series of final discussions regarding all
sections of the draft revision of the listing regulations, said
an informed source at Bapepam.

The exchange has said it was still confident of making the
target of implementing the revised listing regulations by late
June.(udi)