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IPO Glossary

The terms you'll meet on the road to going public, explained without jargon. Key figures carry traceable source chips.

IPO (Initial Public Offering)

Penawaran Umum Perdana

The first sale of a company's shares to the public — and the moment those shares start trading on the exchange. Learn more →

Going Public

becoming a listed company

The process of turning a private company into a publicly held one whose shares trade on the exchange. An IPO is the most common route, but not the only one. Learn more →

Issuer

emiten

The company issuing and offering securities (such as shares) to the public through the exchange.

Underwriter

penjamin emisi

The securities firm that leads the IPO: structuring the offer, marketing the shares, and (in a firm commitment) absorbing unsold stock. The single largest cost component — around 1.1–2.7% of funds raised. S13 Learn more →

Prospectus

prospektus

The official offering document containing all material information about the company and its shares. The SME route (Acceleration Board) may use a simplified prospectus. S10 Learn more →

Bookbuilding

price discovery

The initial-offer window in which investor demand is gathered to discover a fair offer price before the shares are formally sold.

Listing Board

papan pencatatan

IDX's listing tiers, each with its own entry tests: the Main, Development, and Acceleration Boards, plus the New Economy Board overlay. Learn more →

Free Float

publicly held shares

The portion of shares held by the public rather than controllers. Each board sets a minimum free float and investor count as a listing test. S1 S2 Learn more →

Lock-up

temporary sale restriction

A ban on selling shares for a set period after listing — 12 months for controllers on the Main Board. S3

NTA (Net Tangible Assets)

aset berwujud bersih

Total assets minus intangibles and all liabilities — one of the yardsticks in the boards' financial tests. S2 Learn more →

Market Capitalisation

nilai pasar

The value of all the company's shares at market price: share price times shares outstanding. Used in several of the boards' financial-test options. S2 Learn more →

Retained Earnings

saldo laba

Accumulated profits not yet paid out as dividends. Under the 2026 rules, positive retained earnings is a Main Board requirement. S1 Learn more →

Unqualified Opinion

clean audit opinion

The cleanest audit opinion: the financial statements are fairly presented without qualification. The Main Board requires it on the latest audit. S2

Registration Statement

pernyataan pendaftaran

The formal filing submitted to OJK containing the prospectus and supporting documents; the public offering may only proceed once it is declared effective.

Due Diligence

due diligence

The thorough review of the company's finances, legal position, and operations by the underwriter and supporting professionals ahead of the offering.

OJK (Financial Services Authority)

Indonesia's markets regulator

Indonesia's Financial Services Authority — the capital-markets regulator that declares registration statements effective and supervises issuers.

IDX (Indonesia Stock Exchange)

the exchange

The Indonesia Stock Exchange — where shares list and trade, and the body that sets the listing rules (Rule I-A and its siblings). S1 Learn more →

KSEI (Central Securities Depository)

central depository

The Indonesian Central Securities Depository — the settlement institution that records securities ownership electronically.

Share Registrar

biro administrasi efek

The party that administers the issuer's shareholder register — one of the supporting professions in the IPO cost structure. S13 Learn more →

Special Monitoring Board

papan pemantauan khusus

Where IDX places shares meeting certain conditions (very low prices, for instance) — a risk worth noting for low-priced stocks. S5 Learn more →

Multiple Voting Shares

multiple voting shares

Shares carrying enhanced voting rights for founders (POJK 22/2021) — a New Economy Board option to preserve founder control post-IPO. S9 Learn more →

Special Notations

notasi khusus

Extra letters on a ticker (such as -K or -I) flagging special issuer conditions, including New Economy Board voting structures. S8 Learn more →

0.1% Final Tax

tax on exchange share sales

A final income tax of 0.1% on the value of shares sold on the exchange — far simpler than the tax on private-company sales. S17

19% Tax Incentive

listed-company tax rate

A lower corporate income-tax rate — 19% versus 22% — for listed companies meeting the free-float condition. S16 Learn more →

Dilution

dilusi

The shrinking of existing shareholders' ownership percentage as new shares are issued — a natural consequence of raising funds through an IPO.

Valuation

valuasi

The estimate of what the company is worth, underpinning the offer price — usually negotiated with the underwriter ahead of bookbuilding.

Public Expose

paparan publik

The issuer's open presentation to investors and media — part of the run-up to listing and a recurring obligation afterwards.

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