Indonesia Tech Giant GoTo Makes Strong Debut

GoTo’s main focus is Indonesia, where the digital economy is forecast to grow nearly five times current levels, to as much as $330 billion, by 2030.

It boasts 2.5 million drivers, 14 million merchants, and 55 million annual transacting users, and has small operations in Singapore and Vietnam.

“We see significant room for GoTo to grow further, given its low market penetration and low-frequency usage, and Indonesia’s low average consumer spending,” Nomura analyst Ahmad Maghfur Usman said in a report, initiating coverage with a target price of 416 rupiahs.

GoTo sold only about 4 percent of its shares, with investors subject to an eight-month lock-in, or two years for those with multiple class voting shares. It is the first to issue multiple class voting shares, taking advantage of new rules.

GoTo allocated shares to 600,000 drivers and said a record 300,000 investors participated in the IPO.

Source: Reuters