Official IPO, This is Widodo Makmur's Step to Strengthen Business

6 Dec 2021 / Admin / 140 Reads

Jakarta - A company engaged in the cattle and chicken farming business, PT Widodo Makmur Perkasa Tbk (WMPP) has officially conducted an initial public offering of shares on the Indonesia Stock Exchange (IDX). The first livestock issuer in Indonesia that implemented integrated business processes and utilized EBT managed to reap fresh funds of IDR 707.04 billion.

WMPP CEO & Founder, Tumiyana said the IPO step was taken to develop the business and strengthen its subsidiaries. According to him, even in the midst of the Covid-19 pandemic, the food industry has never experienced a significant decline. Meanwhile, around 19% of the proceeds will be used for injection into WMPP's subsidiaries.

"We use it for injection into subsidiaries, we will carry out joint operations with an Australian company to strengthen the ecosystem of one of the business clusters so that in the future sustainability will occur," he said in Graha Widodo Makmur Perkasa, Monday (6/12/2021)

Meanwhile, he said, around 5% of the IPO proceeds will be used for the company's working capital. WMP will make capital expenditures of IDR 10.8 trillion for the next 5 years, and IDR 1.8 trillion annually. The Capex is aimed at building an increased production base with integrated farming of 30 thousand hectares in Sumatra, Sulawesi and Merauke. That way WMP can play a role in market share in the protein sector.

"This is our preparation to build production facilities in order to increase market share. One of the integrated farming programs, on around 30 thousand hectares of land, is the company's big goal," he said.

In addition to the first agricultural and livestock sectors, WMP also ventured into new and renewable energy. According to Tumiyana, his party will build 158 megawatts of solar panels in the livestock area.

"It has built renewable energy in the form of solar panels which will deliver in Q-II next year of 38 megawatts. And now 12 megawatts have been installed in Cianjur, in Wonogiri, in Wonosari. Three points have been built," said Tumiyana.

In addition, WMMP has also digitized the company. Tumiyana said, WMPP distributes through digital channels.

"We are collaborating with TaniHub in order to develop channel distribution. How to handle the company to digitalization? We are still managing the broiler factory, all of which automatically use mobile phones, for feed and control, all in one," he concluded.