Nickel companies are driving a record year for public listings in Indonesia, in a crucial test of investor enthusiasm for President Joko Widodo’s ambition to make the country a top participant in the global electric car market.
Harita Nickel, a subsidiary of Harita Group with a significant project in North Maluku, is holding its investor roadshow this week and hoping to raise at least $600mn ahead of a book build later in March, two people familiar with the talks said.
Merdeka Battery Materials is also planning a local listing in the first half, the people said. Hillcon, a nickel contractor that went public last week on Indonesia’s stock exchange, is trading 25 per cent higher than its initial public offering price.
Indonesia is already the second-busiest IPO market by both deal value and number of listings in Asia this year, after China, according to data from Dealogic. Bankers expect as much as $4bn in issuance in 2023.
The country wants to become a crucial cog in the global supply chain for the fast-growing electric vehicle industry. It holds the world’s largest nickel reserves — a key metal used in batteries — and is the biggest producer of the commodity.
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