MDI Ventures-backed Indonesian IT services firm Run System plans local IPO …

Indonesian IT services firm PT Global Sukses Solusi Tbk (Run System), a portfolio company of Telkom Group-backed MDI Ventures, is targeting to raise funds through an initial public offering on the local stock exchange, per a company statement.

Run System is seeking up to Rp 50 billion ($3.47 million), by issuing new shares, with a maximum of 196.8 million ordinary shares, at Rp 4 apiece. The number of shares represents a maximum of 20.01% of the total issued and paid-up capital of Run System post-IPO. The share price offered to the public is between Rp230 and Rp254 per share.

The company provides integrated ERP software solutions to medium to large businesses. 

Currently, the company offers four types of products namely, Run Systems (ERP software); Run Market (an enterprise intermediary platform); Run iProbe (an HR enterprise solution); and iKas (a point of sales platform).

Run System also held an employment stock allotment programme by allotting a maximum of 1% of the total number of shares offered or a maximum of 1,968,000 shares.

The company will deploy the proceeds to fund new projects, overheads and operational costs. The company will allocate capital for market acquisition and expansion and R&D. 

Run System is targeting listing on September 8, 2021. PT BRI Danareksa and PT Mirae Sekuritas Indonesia are acting as financial underwriters for the issue. 

The company’s net profit increased 272.73% from Rp 2.06 billion in 2019 to Rp 7.70 billion in 2020. The EBITDA jumped 387.15% in 2020 on the back of higher revenue growth in line with the increase in value of contracts secured by the company.  

According to the company’s prospectus, PT Metra-Net (a subsidiary of Telkom group) and MDI Ventures own 10.83% and 3.58% stake respectively in the company before the IPO. 

Run System had joined Indigo accelerator, set up by MDI Ventures and Telkom Indonesia. Subsequently, the company received funding from MDI Ventures and MDI-KB Centauri, and also gained from a strong partnership with Telkom Indonesia. 

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