• Property: The new administration plans to remove VAT and BPHTB
The new Prabowo administration plans to relax property taxes, including the potential
removal of VAT (11%) and BPHTB (5%) for 1-3 years, which could significantly boost Indonesia’s
property market. Developers like Ciputra Development (CTRA) and Summarecon Agung
(SMRA) are optimistic, expecting increased sales. CTRA plans to expand its land bank
(currently 4,000 ha). (Kontan)
What we think: If implemented, the removal of VAT and BPHTB will lower property purchase
costs, alongside expectations of lower interest rates in Indonesia, making homes more
affordable and likely increasing demand in the property sector. This could significantly boost
sales, particularly for developers targeting middle-income buyers. Stocks like Ciputra
Development (CTRA), Summarecon Agung (SMRA), and Metropolitan Land (MTLA) are likely
to benefit as these companies are well-positioned to capitalize on increased demand,
especially in residential projects. The broader property sector could experience enhanced
growth due to improved buyer affordability and market sentiment.
• BOAT will conduct IPO at a price of IDR 100-120 per share
Newport Marine Services (BOAT) is set to launch its IPO, offering 1B shares (28.57% of total
capital) at IDR 100-120 per share, potentially raising IDR 120.05B. Most funds, IDR 75B, will be
used to pay down debt to Eximbank, with the remainder allocated for working capital,
especially in supporting vessel leasing operations. BOAT, operating in offshore shipping for
the oil and gas industry, plans to list on 8 Nov 24, with the public offering from 4-6 Nov
24 (Bisnis Indonesia)
• CNMA will distribute IDR 416.7B interim dividend
Nusantara Sejahtera Raya (CNMA) will distribute an interim dividend of IDR 416.7B or IDR 5
per share. This decision was taken after CNMA succeeded in posting a net profit of IDR 529.8B
(+36.6% yoy) with revenue of IDR 4.3T (+12.1% yoy) in 9M24. The number of viewers at Cinema
XXI has reached 66.1M (+11.8% yoy), which pushed revenue from cinema ticket sales to IDR
2.67T, or contributed 63% of total revenue. Meanwhile, revenue from the food and beverage
products amounted to IDR 1.44T or 34% of total revenue. In 9M24, CNMA has added 42 new
screens spread across various regions and now operates 249 cinemas with a total of 1,322
screens in 61 cities throughout Indonesia. (Bisnis Indonesia)
• FUTR acquired by Hexa Prima Nusantara
Hexa Prima Nusantara (HPN) acquired 99.99% of Lini Imaji Kreasi Ekosistem (FUTR) for IDR
24.99B on 21 Oct 24, through the purchase of shares in Digital Futurama Global (DFG). This
acquisition effectively gives HPN control of 51.22% of FUTR’s shares. HPN acquired the shares
at IDR 7.64 per share, significantly below FUTR’s current market price of IDR 93 per share,
following a sharp 1,062.5% increase over the past three months. The move is part of HPN’s
strategy for business diversification and synergy creation (Bisnis Indonesia)
• UNTR completes acquisition of a renewable energy company
United Tractors (UNTR), a subsidiary of Astra International, has strengthened its renewable
energy portfolio by acquiring Supreme Energy Rantau Dedap, a geothermal project in South
Sumatra, for USD 80.58M (IDR 1.25T) on 18 Oct 24. This acquisition, made through UNTR’s
subsidiary Energi Prima Nusantara, aligns with Indonesia’s strategic push towards clean
energy and contributes to the nation’s energy transition goals. The geothermal plant
currently has a capacity of 2 x 49 MW, with plans to expand to 2 x 110 MW, enhancing UNTR’s
diversification into renewable sectors. Additionally, UNTR will distribute an interim dividend
of IDR 667 per share on 24 Oct 24, boosting investor sentiment. With the geothermal asset
acquisition, EPN’s contribution to UNTR’s revenue is expected to rise, increasing the
company’s exposure to the rapidly growing green energy market. (KabarBursa)
