JAKARTA - PT Arsy Buana Travelindo Tbk with the issuer code HAJJ, a company engaged in providing accommodation services for religious tourism trips for Umrah pilgrims managed by Umrah Pilgrimage Travel Organizers (PPIU), officially listed its initial shares (listing) on the Indonesia Stock Exchange (IDX) on Wednesday, April 5, 2023.
In the Initial Public Offering (IPO), the Company offered 687,100,000 shares or as much as 29.998% of the issued and fully paid capital after the IPO, so that the Company managed to raise IPO funds amounting to Rp96.194 billion.
During the public offering period, based on the e-IPO system, the Company recorded oversubscribed approximately 33.14 times. The number of HAJJ share subscribers was 15,717 parties spread across 34 provinces in Indonesia and from 5 foreign countries. The subscribers were dominated by individual investors as many as 15,709 parties while the rest were 8 institutional investors. This shows investor confidence in the Company's condition. The underwriter is PT Surya Fajar Sekuritas.
The Company also issued 549,680,000 Series I Warrants accompanying the new shares or 34.282% of the issued and fully paid-up capital at the time of the Registration Statement. These warrants are given free of charge as an incentive for new shareholders.
Each holder of 5 new shares is entitled to 4 Series I Warrants, where each 1 Series I Warrant entitles the holder to purchase 1 new share. The exercise price of the warrants is Rp 175 per share, resulting in a maximum total exercise proceeds of Rp 96.194 billion. The exercise of warrants can be done 6 months or more after the securities are issued, starting from October 5, 2023 to April 3, 2026.
President Director of PT Arsy Buana Travelindo Tbk, Saipul Bahri said that the HAJJ IPO will strengthen and expand the reach of PT Arsy Buana Travelindo Tbk by increasing investment in providing more varied accommodation at competitive prices.
"We hope to grow HAJJ's business size in this industry, as a service provider for Umrah travel organizers. The main hope is also because we are the first company to be listed on the Indonesia Stock Exchange, it can be a benchmark for this industry and can be an alternative for investors to invest in this stock," explained Saipul.
"The potential for Umrah and Hajj travel in Indonesia itself is very large because the number of Muslims reaches more than 200 million. This certainly makes the business prospects of PT Arsy Buana Travelindo Tbk very promising and bright in the future," added Saipul.
Meanwhile, President Director of Surya Fajar Sekuritas Steffen Fang explained that the success of HAJJ's IPO was supported by bright business prospects. The oversubscription during the public offering also reflects investors' confidence in the Company's condition, as well as confidence in the potential for future business growth.
"The oversubscribed shows investor confidence in the large market potential, especially now that the company is the first listed travel accommodation provider company on the IDX which has a business focus on providing accommodation for Umrah trips," said Steffen.
For additional information, the government of Saudi Arabia as the authority of Umrah worship activities, also continues to provide support so that the number of pilgrims leaving for worship continues to increase with easy administrative requirements, facilities, and infrastructure.
This is certainly in line with the vision of PT Arsy Buana Travelindo Tbk to become a trustworthy, professional, and reliable provider of travel and religious travel services that are able to provide benefits to the wider community.
The key to success according to Saipul Bahri is Khidmah (service) and Amanah (honesty). According to Saipul Bahri, these two words must exist and apply in every business, especially services. Therefore, PT Arsy Buana Travelindo Tbk becomes a service company with true and trustworthy for customers not only as a turnover target, but also a way of worship to Him.
The business of PT Arsy Buana Travelindo Tbk has virtues that can facilitate people in feeling comfortable in worship, as follows:
- Having contracts with hotels in Mecca and Medina, the ability to sell seasonal pricing and compete both vertically and horizontally.
- Local service provider companies that have experience and knowledge in accommodation in Mecca and Medina and are ready to serve in Indonesian.
- Has an easy and updated online reservation facility that provides comfort and convenience as well as flexibility to consumers in transactions.
- Provides a full range of products including room rentals, tickets, and Land Arrangement (LA) packages, and networks with upstream industry partners.
- Experienced marketing and operational personnel with adequate product knowledge.
IPO Funds for Airline Ticket and Hotel Room Reservations
The proceeds from the Initial Public Offering will be used for several purposes, such as:
- Approximately 60% will be used by the Company for airplane ticket reservations and
- The remaining 40% will be used by the Company for hotel room slot reservations.
PT Arsy Buana Travelindo Tbk (HAJJ) has several service products that represent "One Stop Solution". These service products are:
- Hotels: PT Arsy Buana Travelindo Tbk (HAJJ) provides hotels located in Makkah and Madinah. All hotels provided are strategically located and close to important mosques such as the Grand Mosque and the Prophet's Mosque.
- Land Arrangement: PT Arsy Buana Travelindo Tbk (HAJJ) provides all the needs of pilgrims, starting from Visas, Booking Receipt Registration Numbers, Transportation, Tour Guides, and others.
- Airplane Tickets: PT Arsy Buana Travelindo Tbk (HAJJ) provides tickets to Saudi Arabia with various airlines.
