Elvyn G. Masassya, President Director of IPC, said the funds that are collected through the initial public offering (IPO) of Jasa Armada Indonesia (which is also known by the name IPC Marine Service) will be used for business expansion.

Besides business expansion the IPO is also expected to improve the management of Jasa Armada Indonesia as transparency should improve as a result of the public listing.

Jasa Armada Indonesia is regarded as the most prepared IPC unit that can become a listed company. It would be IPC's first listed unit. However, over the next two years IPC also wants to list two other subsidiaries: Indonesia Kendaraan Terminal and Pelabuhan Tanjung Priok.

Per December 2016 Jasa Armada Indonesia's assets were recorded at IDR 624.4 billion (approx. USD $47 million) and IDR 357.2 billion worth of equity.

IPO of Garuda Maintenance Facility AeroAsia

Meanwhile, state-controlled airline Garuda Indonesia is preparing the IPO of its subsidiary Garuda Maintenance Facility AeroAsia, eyeing to collect up to USD $300 million. These proceeds will be used to finance the establishment of a new unit in Batam as well as overseas expansion in Dubai, Australia and East Asia.

Iwan Joeniarto, President Director of Garuda Maintenance Facility AeroAsia, said the company plans to offer between 20 and 30 percent of its equity to investors in October 2017. Mandiri Sekuritas has been appointed as the lead underwriter, while Bahana Sekuritas, BNI Securities and Danareksa will act as co-underwriters.

GMF AeroAsia is a company that conducts maintenance, repair and overhaul of aircraft for 170 customers.