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Summary
The target company, with its main base in Bali, operates BPR (regional banks) and develops BPR systems for micro, small, and medium-sized enterprises (MSMEs) in Indonesia. Currently, the group has total assets of 8 trillion rupiah, more than 700 employees, and 15 offices in 7 cities in Indonesia.
There are approximately 640,000 micro, small, and MSMEs in Indonesia, which together account for 60% of the country’s GDP. 72% of these enterprises are not well financed through formal government loans, and it is said that there is a very large financing gap. On the other hand, there are more than 1,600 small BPRs (regional banks) spread across the country, and in Indonesia, which consists of more than 10,000 islands, there is a need to further utilize them to support these MSMEs.
In response to the above, the company has developed and provided a digitalized BPR system to support micro, small, and medium-sized enterprises (MSMEs) in addition to its own BPR operations, and has helped create a network of nearly 500 BPRs in Indonesia. The company also focuses on education, including the operation of schools and scholarships in Bali.
The company incurred a loss in 2022 due to the Corona virus, which impacted earnings in Bali, where 80% of its business portfolio is concentrated, as well as an increase in unpaid debtors. The company aims to gain a presence in the domestic banking market, which is expected to grow 2.4 times over the 10 years from 2021 to 2031, by integrating the seven BPRs it currently operates through digitalization, expanding its network throughout domestic banking market by acquiring BPRs in other regions, and listing its shares through an IPO in 2025.
In order to expand its business, the target company is looking for investors who are willing to partner with it as strategic investors, holding 10-20% of its shares. The current valuation amount is calculated at 2.85 trillion rupiah. After a 25% reduction, the total investment is expected to be 210-420 billion rupiah.
Company Profile
| Type of Business | Finance and fintech |
|---|---|
| Place of Business | Indonesia |
| Years Since Establishment | 5-10 years |
| No. of Employees | 250-500 employees |
Financial Overview
| Annual Revenue | 0-5M USD |
|---|