Tera Data Indonusa AXIO Raises US$10 Million in IPO

TheIndonesia.co - A company engaged in trading computers and computer equipment, PT Tera Data Indonusa Tbk (AXIO), is officially listed on the Indonesia Stock Exchange (IDX) and obtaining fresh funds from an initial public offering (IPO) of Rp. 145.62 billion or US$10 million. AXIO President Director Michael Sugiarto said the company released 1.04 billion shares, equivalent to 17.81 percent of the issued and fully paid capital, to the public with a nominal value of IDR 25 per share and an IPO price of IDR 140 per share.

"Investors are very enthusiastic about welcoming AXIO shares. This can be seen from the high interest during the offering period so that they have been oversubscribed or oversubscribed 78 times," Sugiarto said in a statement in Jakarta, Wednesday, July 20, 2022.

Sugiarto said that around 90 percent of the proceeds from the IPO shares will be used for working capital to support the company's sales increase in the form of purchasing raw materials for components and spare parts for the company's products, which include LCD, motherboard, SSD, RAM, and others.

In addition, continued Sugiarto, the funds will be used to finance loans, improve the quality of human resources through development through internal and external training as well as the development of distribution channels through marketing personnel and expansion of service center coverage in the company's marketing area.

While the remaining 10 percent will be used for capital expenditures, among others, for the expansion of the warehouse and production area located at the company's current factory and the purchase of production support equipment in the form of conveyor lines, forklifts, racking management, and machines in the form of surface mounting technology (SMT) for motherboard production purposes and development support tools in the form of production test kits (quality control kit).

According to Sugiarto, this is to meet the increasing demand and sales volume in 2022 and to optimize efficiency and the company's production process. In terms of performance, AXIO shows good financial performance and consistently positive growth. This is reflected in the income statement.

In its 2021 annual performance, AXIO managed to record a 400 percent increase in gross profit to Rp264 billion. As a result, net profit for the year managed to increase by 1,056 percent (YoY) to Rp135 billion.

In 2020 and 2021, there will be an increase in demand for Information Technology (IT) products, especially notebooks and laptops. This condition has also increased AXIO's notebook and laptop business in Indonesia due to the new normal policy which is the impact of COVID-19.

For the period December 31, 2021, the growth ratio and profitability ratio recorded a positive performance, including revenue, Net Profit Margin (NPM) to Return on Assets (ROA), and Return on Equity (ROE), along with a healthy solvency ratio. This can be seen in the Debt to Assets (DAR) of only 0.62x, which reflects the company's healthy performance Michael said, in modern times like now, of course, the use of technology and the internet has become a part of people's daily lives in general.

Simply by using internet technology, information can be spread and accessed by anyone in any part of the world. "Today, the use of Information and Communication Technology or ICT in the industry has become a must if you want to develop. The ICT industry is the industry of choice for investors to invest in," said Sugiarto.