Daily Brief Indonesia: Blibli, Bank Rakyat Indonesia, CIFI Holdings and more

• Blibli (1437710D IJ) is offering 17.77bn shares in its IPO at a price range of IDR 410-460/share. That could raise up to US$530m and value the company up to US$3.64bn.
• The stock will not get Fast Entry to the IDX30, LQ45, MSCI and FTSE indices, so no near-term support from passive buying.
• The stock could make it into the MSCI Small Cap Index in February and the FTSE All-World/All-Cap Index in June. Earliest inclusion in IDX30/IDX80/LQ45 indices could be in July.

• Blibli (1437710D IJ), a leading Indonesian e-commerce player, has launched an IDR8.2 trillion (US$530 million) Indonesian IPO. Bookbuilding is from 17 to 24 October.
• According to Frost & Sullivan, Blibli.com was No. 1 in the fresh food category and 1P consumer electronics in the B2C omnichannel among e-commerce players in Indonesia in 2021. 
• The key elements of the bull case rest on a large and growing addressable market, strong ecosystem, high order values, rising cohort spending and fast-paced growth. 

• Bank Rakyat Indonesia (BBRI IJ) remains the best proxy for Indonesia’s huge and underbanked MSME sector, which accounts for around 60% of the country’s economy. 
• The bank now has over 83% of loans exposed to the micro segment and has a long-track record operating in the micro space, with a sound record of managing risk. 
• Bank Rakyat continues to increasingly utilise digital channels utilise digital channels to expand its network and reduce costs. Valuations remain attractive and a an ongoing recovery in place. 

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

• CIFI Holdings
• Fosun International
• Kawasan Industri Jababeka