Firstly let me say this; before I got into fintech in Indonesia I had no idea what a SPAC was. I’m still a bit confused about the whole thing but according to Investopedia: A special purpose acquisition company (SPAC) is formed to raise money through an initial public offering to buy another company. Have a look over the Investopedia site for a broader definition as its outside of my scope at the time being.

Gojek IPO and the SPAC in Jakarta

What you need to know: Firstly let me say this; before I got into fintech in Indonesia I had no idea what a SPAC was. I’m still a bit confused about the whole thing but according to Investopedia: A special purpose acquisition company (SPAC) is formed to raise money through an initial public offering to buy another company. Have a look over the Investopedia site for a broader definition as its outside of my scope at the time being.  Grab app, a competitor to Gojek announced that the company will be go public via a SPAC.  Grab announced on April 13th, 2021 that it intends to go public in the U.S. in partnership with Altimeter Growth Corp. (Nasdaq: “AGC”) in what is expected to be the largest-ever U.S. equity offering by a Southeast Asian company. The combined company expects its securities will be traded on NASDAQ under the symbol “GRAB” in the coming months. A successful Grab SPAC IPO could should be seen as a positive sign for a Gojek IPO. If you are new to Indonesian investing we have a page dedicated to helping you learn about Gojek.   Why it matters: What should be seen as a clear indication that a merger between Tokopedia and Gojek is going ahead, the IDX has announced they will allow SPAC on the exchange. This is according to The Star out of Malaysia and the Jakarta Post although nothing has been listed on the IDX site. According to these sites, the new rule allowing for SPAC on the Indonesia Stock Exchange will come into effect in July.  Bottom line, if the stock market (bourse) does allow for this change it may mean that we are headed for a July IPO of the to be named Gojek/Tokopedia merger.  Time will tell and we will be keeping ear out for official updates from IDX development director Hasan Fawzi. Further reading: https://www.thestar.com.my/business/business-news/2021/03/09/indonesia-stock-exchange-to-allow-spacs https://www.thejakartapost.com/news/2021/03/07/idx-to-allow-spacs-hopes-indonesian-unicorns-will-go-public-locally.html