Singapore’s sovereign wealth fund, GIC, is considering selling its minority stake in Bukalapak, an Indonesian e-commerce platform, sources told DealStreetAsia.
Discussions are in the preliminary stages, and GIC has not yet decided whether to hire bankers for the sale or handle it internally.
When contacted by DealStreetAsia, GIC and Bukalapak both declined to comment on the potential divestment.
According to the Indonesia Stock Exchange (IDX), GIC currently owns 9.44% of Bukalapak.
The wealth fund’s initial investment in Bukalapak occurred in April 2021, in collaboration with Microsoft and Emtek, amounting to US$234 million.
Bukalapak subsequently went public in July 2021, raising US$1.52 billion in its IPO.
GIC increased its investment by an additional US$95 million the day before the IPO, initially raising its stake to 11%.
Presently, Emtek, through PT Kreatif Media Karya, is the largest shareholder in Bukalapak with a 24.62% stake, while Ant Financial holds 13.04% through API (Hong Kong) Investment Limited.
In Q1 2024, Bukalapak reported positive adjusted EBITDA for the first time, driven by robust revenue growth and effective cost management.
The adjusted EBITDA was 15 billion rupiah, a significant improvement from the 209 billion rupiah loss recorded in the same quarter the previous year.
The company forecasts a positive adjusted EBITDA exceeding 200 billion rupiah for the full year.
Additionally, Bukalapak reduced its net losses by 96% to 39 billion rupiah in Q1 2024, compared to a 1 trillion rupiah loss in Q1 2023.
GIC’s investment strategy in Indonesia includes substantial minority stakes in a range of companies through Archipelago Investment.
Beyond Bukalapak, GIC holds interests in several other prominent Indonesian firms including PT Avia Avian Tbk and Primaya Hospital.
Featured image credit: Edited from Freepik
