International Finance Corporation (IFC) has officially become a shareholder in Indonesia-listed logistics firm PT Adi Sarana Armada Tbk while insurtech firm Qoala has conducted a round of layoffs.
IFC becomes Adi Sarana Armada shareholder
World Bank member IFC has become a shareholder in Adi Sarana Armada with a 2.64% stake in the firm following the conversion of its convertible bonds. IFC injected $31 million in convertible bonds in Adi Sarana Armada in 2021.
Adi Sarana has three main businesses, including mobility (vehicle rental, driver services, and car sharing services), vehicle commerce (auction and online to offline used-car commerce) logistics (AnterAja).
Adi Sarana CEO Prodjo Sunarjanto said the company is expecting to book two-digit profit growth in 2023.
In the first half of 2023, the company booked 39.24 billion rupiah in profits, compared to 3.7 billion rupiah in the same period in 2022, on the back of a reduction in expenses. Its revenue declined 24.7%, from 3.17 trillion rupiah in H1 2022 to 2.4 trillion rupiah in H1 2023.
Layoffs at Qoala
Indonesian insurtech firm Qoala has laid off 80 employees in Malaysia and Indonesia as part of an exercise to reorganise its business units, according to a statement on Wednesday.
The company stated that the decision was taken after a two-year review of the organisational structure.
Qoala said its current financial position remains robust, and the company’s contribution margin is positive at the group level, it said in the statement. It has a comfortable runway and has significantly improved the company’s unit of economics, it added.
In March 2023, Qoala completed its Series B+ funding round, raising $7.5 million led by European investment firm responsAbility. Founded in 2018, the general insurer also distributes insurance products on digital platforms such as Shopee, Traveloka, DANA, Redbus, JD.ID, and Kredivo.