The Indonesia Stock Exchange (“IDX“) is currently preparing a new listing regulation to update the current listing regulation. The new regulation will add a definition of public float, which will address which shareholders of a public company can be calculated as part of the public shares of such company. By issuing this new regulation, the IDX hopes to encourage public companies to obtain more public shareholders in initial public offerings. The new regulation is also in line with a recent OJK regulation on e-bookbuilding (OJK rule No. 41/POJK.04/2020), which was issued to increase public participation in initial public offerings.
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