Prior to the designing and implementation of the new minimum requirement, the Indonesia Stock Exchange (IDX) had already requested HM Sampoerna several times to increase its free float. One of the reasons being that HM Sampoerna is one of the largest Indonesian companies in terms of market capitalization. In fact, in March 2013 HM Sampoerna was temporarily the country’s largest company, surpassing Astra International, one of Indonesia’s largest diversified conglomerates.

Per 30 January 2014, all listed companies at the Indonesia Stock Exchange (IDX) are obliged to have publicly issued at least 7.5 percent of the company’s total number of shares. However, in order to soften the impact of this rule, companies are given two years to adjust to the new situation. If this requirement is not met within that time frame, de-listing of a company is one of the possible repercussions.

Further Reading:

Company Profile of HM Sampoerna
New Minimum Share Requirement and Listing Fee for Listed Companies