ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Finance

Southeast Asian exchanges put out the 'investors wanted' sign

JAKARTA -- HM Sampoerna, an Indonesian cigarette maker, had a market capitalization of 306 trillion rupiah ($24.8 billion), based on its closing price of Dec. 5. That gave it the Indonesia Stock Exchange (IDX)'s second-largest cap. But since less than 2% of its shares are available to the public -- parent Philip Morris Indonesia owns all the others -- investors hardly have a chance to trade in the company's stock.

     The IDX wants this state of affairs to change. Earlier this year, it issued a regulation requiring listed companies to float 7.5% of their paid-up capital to the public. But it gave companies until January 2016 to comply, and so far companies like HM Sampoerna have not budged.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more