The Indonesia Stock Exchange (IDX) has confirmed that several listed companies, identified as having high shareholding concentration (HSC), have requested formal audiences with the exchange. This development follows the IDX’s recent move to increase market transparency and align with global investment standards.
Acting President Director of the IDX, Jeffrey Hendrik, noted that multiple issuers have reached out throughout May to discuss their status. “Some of these meetings have already taken place, while others are scheduled for the near future,” Jeffrey told reporters at the IDX Building on Monday (May 18). However, he declined to disclose the specific names of the companies involved in these discussions.
Understanding High Shareholding Concentration (HSC)
The HSC list categorizes companies where the majority of shares are held by a small group of stakeholders or specific affiliated entities. By publishing this data, the IDX aims to minimize the risks associated with speculative practices, bolster market transparency, and meet the rigorous expectations of international investors. Despite the ongoing outreach, Jeffrey reported that none of the 10 companies currently on the list have announced corporate actions to reduce their shareholding concentration, nor have any requested a re-screening of their ownership structures.
When questioned about whether the companies seeking an audience are major conglomerates, Jeffrey provided a cautious response, acknowledging that at least one of the 10 issuers fits that description.
Context Behind the HSC List
The release of the HSC list represents a significant step in the capital market reforms championed by the Self-Regulatory Organizations (SROs) and the Financial Services Authority (OJK). This initiative was largely prompted by feedback regarding transparency from global index providers like MSCI. Recently, PT BSA Logistics Indonesia Tbk (WBSA) was added to the list, despite having completed its initial public offering (IPO) just one month prior.
Other companies currently featured on the HSC list include:
- PT Rockfields Properti Indonesia (ROCK)
- PT Ifishdeco Tbk (IFSH)
- PT Satria Mega Kencana Tbk (SOTS)
- PT Samator Indo Gas Tbk (AGII)
- PT Barito Renewables Energy Tbk (BREN)
- PT Panca Anugrah Wisesa Tbk (MGLV)
- PT Dian Swastatika Sentosa Tbk (DSSA)
- PT Lima Dua Lima Tiga Tbk (LUCY)
- PT Abadi Lestari Indonesia Tbk (RLCO)
Transparency vs. Violation
Jeffrey emphasized that being included on the HSC list does not imply that a company has committed any regulatory violations. “It does not automatically indicate any wrongdoing in the capital market. It is simply information provided to empower investors,” he stated during a previous briefing on April 2. He added that the publication of this data is a common global practice, similar to policies implemented by the Hong Kong Stock Exchange, intended to ensure the Indonesian market remains competitive and transparent on the global stage.
Summary
Several companies identified as having High Shareholding Concentration (HSC) have requested formal audiences with the Indonesia Stock Exchange (IDX) to discuss their status. While IDX officials confirmed these meetings are occurring, they have declined to publicly disclose the specific names of the issuers involved. Despite the outreach, none of the ten companies currently on the HSC list have initiated corporate actions to adjust their ownership structures or requested formal re-screening.
The HSC list aims to increase market transparency and align with global investment standards, following feedback from international index providers like MSCI. The IDX clarified that being included on this list does not constitute a regulatory violation or suggest wrongdoing by the issuers. Instead, the initiative is intended to provide investors with better information and ensure the Indonesian capital market remains competitive on a global scale.
