Retail Investors Disappointed as RLCO IPO Allocation Falls Short

The initial public offering (IPO) of PT Abadi Lestari Indonesia Tbk (RLCO) has seen an extraordinary demand, oversubscribed by an astounding 948.25 times. This unprecedented interest meant that many retail investors, interviewed by Katadata.co.id, reportedly secured only a single lot of shares during the allotment process.

According to a poster from Samuel Sekuritas, the lead underwriter for the issuance, the RLCO IPO’s oversubscription is the highest in history, with orders placed by over 775,000 Single Investor Identifications (SIDs). Samuel Sekuritas Indonesia played a pivotal role as the executing underwriter throughout this significant IPO process.

RLCO offered its shares at the upper end of its price range, Rp 168 per share, from an initial range of Rp 150–168. The company released 625 million shares, representing 20% of its total issued and fully paid-up capital post-IPO. This strategic move is expected to raise fresh funds totaling approximately Rp 105 billion.

The book-building period for the RLCO IPO was scheduled from November 24–26, 2025. Following this, the public offering was anticipated to take place between December 2–4, 2025, with allotment slated for December 4. The electronic distribution of shares was set for December 5, and the official listing on the Indonesia Stock Exchange (IDX) is projected for December 8, 2025.

The intense competition for RLCO shares left many investors with minimal allocations. Damara (28), a retail investor, recounted his efforts to acquire hundreds of RLCO lots during the offering. Despite placing an order for 405 lots, valued at Rp 6.80 million, this Flores-born individual only managed to secure one lot upon the completion of the share allotment. “Even though I only got one lot, I’m not giving up. Why should I?” Damara told Katadata.co.id on Friday (5/12).

Raisyah (25) experienced a similar outcome, also receiving just one lot of RLCO shares. She had initially ordered 50 lots, amounting to Rp 840,000, during the public offering period. Raisyah expressed her optimism about the swallow’s nest industry’s promising prospects, highlighting its export value reaching US$ 551.556 thousand. She noted that RLCO shares were significantly harder to acquire compared to other IPOs she had participated in. “It was tough. I thought even though it wasn’t a lighthouse company, there would be more shares available, but it turned out to be very difficult,” Raisyah commented.

The disappointment among investors was palpable on the Stockbit Sekuritas stream, where many expressed their frustration over receiving only one lot. One user shared a screenshot showing an order for 1,213 lots of RLCA shares, yet only one lot was allotted. “RLCO is hilarious. How can one get rich this way?” read a comment on Stockbit. Another user on the Stockbit stream even claimed to have received no shares at all, despite ordering 10 lots. Amidst the discontent, a calming voice on the Stockbit Stream reminded fellow investors: “There’s no need to be so angry. You’re not the only one who ordered many shares. Don’t expect to get rich quickly from an IPO; perhaps that’s the positive side of getting just a few lots, not just opportunistic. You’re not the only one striving; learn to work hard and accept.”

The overwhelming demand for RLCO’s IPO shares surpassed even that of prominent lighthouse companies previously listed on the IDX. For instance, PT Chandra Daya Investasi Tbk (CDIA) recorded an oversubscription of 563.64 times on July 9, 2025, which RLCO significantly exceeded.

RLCO is renowned as an exporter of swallow’s nests, and it has recently broadened its business scope to include various health and premium food products. According to its IPO prospectus, the company’s diverse business activities span from breeding and cultivating swallows to wholesale trade of chicken meat and its processed products, local chicken farming, and the distribution of farm-based food and beverage products. The company strategically targets Indonesia’s rapidly growing upper-middle-class segment.

Plans Following the IPO

All funds raised from the initial public offering, after deducting emission costs, are earmarked for two primary needs. Approximately 56.33% of the net proceeds will be allocated as working capital, predominantly for the procurement of raw materials, specifically swallow’s nests. The remaining 43.67% will be injected as capital into its subsidiary, PT Realfood Winta Asia, also for the acquisition of similar raw materials. The company emphasizes that the additional working capital from the IPO is crucial for optimizing its factory utility, which has not yet reached its maximum capacity.

With these funds, RLCO anticipates enhancing its operational capacity and productivity, ultimately driving revenue growth. As of the issuance of the prospectus, the company had not yet finalized new agreements with either existing or new suppliers. Should the IPO proceeds prove insufficient to finance these planned uses of funds, the company has indicated the possibility of exploring alternative funding sources, such as third-party loans or internal funds.