SINGAPORE (Reuters) – The upstream unit of Indonesian state-owned energy company Pertamina, Pertamina Hulu Energi, launched an informational roadshow for investors ahead of an initial public offering (IPO) on Tuesday, according to a term sheet seen by Reuters.
Pertamina Hulu declined to comment.
The company last month delayed its IPO plan due to an administrative issue, Indonesia’s financial regulator said.
The company was expected to sell a 10% to 15% stake in the offering, raising up to $2 billion from it, according to sources with knowledge of the matter.
At $2 billion, it would be Southeast Asia’s largest IPO this year, beating the proposed $647 million IPO of Indonesian nickel company PT Trimegah Bangun Persada, which is set to debut next month.
According to the term sheet, Pertamina Hulu plans to use most of the proceeds from the IPO to fund capital expenditures on exploration and development activities and the acquisition of new oil and gas assets.
Citigroup (CN), Credit Suisse (CSGN.S) and JPMorgan (JPM.N) are joint bookrunners of the IPO, along with Indonesia’s BRI Danareksa and Bank Mandiri.
Reporting by Scott Murdoch in Sydney and Yantultra Ngui in Singapore; Additional reporting by Bernadette Christina in Jakarta; Editing by Himani Sarkar
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