PT Sinar Terang Mandiri Tbk (IDX:MINE), a company providing mining and excavation support services, officially listed its shares on the Indonesia Stock Exchange (IDX) with an initial offering price of IDR 216 per share on Monday (March 10, 2025). Through this Initial Public Offering (IPO), the company aims to optimize business opportunities in the nickel mining sector by increasing its fleet of heavy equipment, which will enhance its operational activities.

In this IPO, the company offers 612,665,300 shares, equivalent to 15% of its issued capital. With the initial share price of IDR 216 per share, MINE successfully raised IDR 132.3 billion in funding. During the initial and public offering phases, the IPO garnered an overwhelming response from investors, as reflected in the oversubscription of the pooling demand by up to 25 times. MINE appointed PT Trimegah Sekuritas Indonesia Tbk as the underwriter or guarantor of the securities issuance.

MINE's President Director, Ivo Wangarry, explained that this IPO is a significant and strategic milestone for the company to expand its business and improve financial performance sustainably. The capital increase through the IPO will enable the company to better capitalize on opportunities in the mining sector and support the government’s nickel industry downstreaming program, which is a key focus area.

“Our commitment is to implement the business plan outlined in the prospectus and use the majority of the IPO funds to strengthen the company’s fundamentals,” said Ivo Wangarry on Monday.

Fundamentally, MINE's performance has been growing in line with increased productivity. As of August 31, 2024, the company reported a revenue of IDR 1.36 trillion, a 40.8% increase compared to IDR 968.05 billion during the same period in 2023. This revenue growth was driven by a 47.0% increase in total material movement from nickel mining, from 6.7 million bank cubic meters (bcm) on August 31, 2023, to 9.8 million bcm on August 31, 2024.

Ivo Wangarry said that increasing the number of heavy equipment post-IPO will further enhance the company’s nickel mining capabilities, directly impacting the company’s revenue. The downstreaming program for the domestic nickel industry and the growing global demand for nickel will also present valuable business opportunities for the company.

"The growing global Electric Vehicle (EV) ecosystem that requires nickel support adds value to the company and positions us for long-term profitability. As a business player, we also aim to support Indonesia as an important part of the global electric vehicle battery supply chain," Ivo added.

Indonesia is one of the world’s largest nickel producers, with reserves accounting for 20% of the world’s total nickel reserves. The increase in investment in the nickel downstreaming sector has significantly boosted the demand for nickel mining services in Indonesia.

The company, which has been operating for more than 20 years in the mining support industry, secured a nickel mining service contract in North Maluku in 2007. Due to its excellent performance, the company received ISO 9001:2008 certification in 2009 for its Quality Management System in Architectural and Civil Construction, Environmental Management, and Mining.

In 2014, the company expanded its business into road construction services for mining areas. In 2017, it was trusted by a state-owned enterprise for the construction of the Manado-Bitung toll road and became a member of the Indonesian Contractors Association (GAPEKNAS).

Currently, the company owns over 100 pieces of heavy equipment of various types to support its operational activities. It has its headquarters in Jakarta and an operational office in Manado, North Sulawesi.