Shares Indonesia’s BLT to reach the IPO price of S$0.32

Shares in Indonesia’s largest tanker company, Berlian Laju Tanker (BLT), which began trading on the Singapore Exchange on Monday, have been struggling to reach the IPO price of S$0.32, although they have managed to hover around the opening day’s closing price of S$0.30. Executives of BLT, which is also listed in Jakarta and Surabaya, have however described the IPO, which raised S$184M ($117M), as a success. The public offer of 28M shares was 2.9 times oversubscribed while demand for the placement tranche of 547M shares was 1.7 times the number allocated. “We are delighted with the robust demand shown by the institutional and retail investors,” president director Widihardja Tanudjaja said. The maximum price targeted was S$0.40 per share. A source close to BLT explained to Fairplay that it was logical to fix the share price closer to the price of the company’s shares trading in Indonesia. Headquartered in Jakarta, Berlian Laju operates a diversified fleet of 57 ships and has 13 newbuildings on order (aggregate 307,780dwt) to be delivered over the next three years.