Merdeka Gold Resources Soars on Market Debut
Jakarta. Shares of Merdeka Gold Resources (IDX: EMAS) surged on their first trading day at the Indonesia Stock Exchange (IDX) on Tuesday, hitting the upper trading limit immediately after listing in one of the market’s most anticipated debuts this year.
The gold miner, part of Merdeka Copper Gold (MDKA) Group, raised funds through an initial public offering (IPO) of 10 percent of its shares at Rp 2,880 a piece. EMAS opened 25 percent higher at Rp 3,600, reaching the daily cap, with buy orders piling up. As of 9:07 Jakarta time, queues at the ceiling price reached 2.79 million lots, or about Rp 1 trillion ($60 million) in value.
“This listing is not just a milestone in our corporate journey, but also a reflection of our long-term growth commitment,” President Director Boyke P. Abidin said. He added that IPO proceeds will strengthen the balance sheet, repay debt, and fund development of the Pani Gold Project in Gorontalo, Sulawesi.
The IPO drew strong interest from investors, oversubscribed 4.6 times. EMAS sold 1.62 billion new shares, giving it an initial market capitalization of Rp46.6 trillion ($2.9 billion).
Despite the strong debut, the company faces significant financial challenges. EMAS has booked net losses since 2022, including $12.7 million in 2024 and $9.2 million in the first quarter of 2025, nearly double the year-earlier shortfall. Total liabilities stood at $280 million as of March 31, including $77.9 million in short-term debt.
Most of the IPO proceeds, about Rp3.88 trillion, will be used to repay debt owed to parent MDKA under a loan agreement signed in 2022 and amended this August. EMAS still owes Rp4.2 trillion to MDKA as of Sept. 10. A further $20 million will be injected into Pani Bersama Tambang for raw material purchases and staffing, while another $20 million will be lent to Puncak Emas Tani Sejahtera.
EMAS becomes the 23rd company to go public in Indonesia this year, following 22 listings that raised Rp10.4 trillion through early September, according to IDX data.
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