Company Valuation for Initial Public Offering of PT Petronesia Benimel
##plugins.themes.bootstrap3.article.main##
In the Long-Term Plan of PT Petronesia Benimel, the set sales growth per year from 2021 to 2025 is 30% per year. This is very possible to be realized, because in the next five years the company is still working on the Trans Sumatra Toll Road infrastructure project which is an assignment from the government to PT Hutama Karya (Persero), working on oil and gas projects, entering the mining business, and other infrastructure projects. To carry out these projects requires additional investment for working capital and capex spending. The company has determined that the source of funding for this will be obtained through an IPO. In order for the purpose of the IPO to get new funding can be carried out properly, then the value of the company at the time of the IPO must be worth offering. To find out this, the study conducted a valuation to provide an idea of the intrinsic value of the company that will be offered at the time of the IPO. Valuation is done by discounted valuation method for 2021 to 2030. The growth rate used is from 2021 to 2025 at 30% per year and since 2026 using declining growth with a decrease of 5% per year and will be stable at the level of 5%. The discount rate used is 16.42%. The calculation results obtained the intrinsic value of the company Rp 1,091,909,679,734. The company's equity book value amounted to Rp 537,376,950,787. The conclusion of this study is that the intrinsic value of the company is 2.03 times the book value of equity so that feasible to conduct IPO.
Downloads
References
-
Aljundi, A. (2021). Equity valuation: Corticeira Amorim. [Conferral of Master in Finance, ISCTE Business School]. Instituto Universitario de Lisboa.
Google Scholar
1
-
Atasukwatana, V. (2018). Discounted cash flow valuation of Ananda Development Public Company Limited. [Thematic Paper, Master Of Management]. Mahidol University, Thailand.
Google Scholar
2
-
Attamimi, F. H., Koesrindartoto, D. P., Sumirat, E., et al. (2012). Stock pricing analysis of PT. LEN as alternative sources of fund through the Initial Public Offering (IPO). The Indonesian Journal Of Business Administration; 1(7): 440-446.
Google Scholar
3
-
Bank Indonesia. Kurs Transaksi Bank Indonesia. https://www.bi.go.id/id/statistik/informasi-kurs/transaksi-bi/default.aspx.
Google Scholar
4
-
Brealey, R. A., Myers, S. C., Marcus, A. J. (2001). Fundamentals of Corporate Finance. 3rd ed. United States of America: The McGraw-Hill Companies, Inc.
Google Scholar
5
-
Brejo, J. M. F. (2018). Equity research – Dimpomar, Lda. case study. [ of Master in Finance, ISCTE Business School]. Instituto Universitario de Lisboa.
Google Scholar
6
-
Brigham, E. F., Ehrhardt, M. C. (2008). Financial Management: Theory and Practice. 12th ed. USA: Thomson Higher Education.
Google Scholar
7
-
Bursa Efek Indonesia. (2020). Panduan Go Public. https://gopublic.idx.co.id/media/1409/bei_panduanipo_bahasa_juli2020.pdf.
Google Scholar
8
-
Buslot, Anthony. (2021). The challenges in valuating a company when it wants to make an Initial Public Offering (IPO). [Thesis, Louvain School of Management]. Université Catholique de Louvain, Ottignies-Louvain-La-Neuve, Belgia.
Google Scholar
9
-
Calvalho, I. N. (2016). Equity valuation of Ence Energia y Celulosa SA. [Dissertation, Catolica Lisbon Business and Economics]. Universitas Catholica Lusitana, Lisbon.
Google Scholar
10
-
Chittapraphai, C. (2018). Discount cash flow valuation of Global Power Synergy Public Company Limited. [Thematic Paper, Master Of Management]. Mahidol University, Thailand.
Google Scholar
11
-
Damodaran, A. (2002). Investment Valuation: Tools and Techniques for Determining the Value of Any Asset. 2nd edition, New York: John Wiley & Sons, Inc.
Google Scholar
12
-
Damodaran, A. (2012). Investment Valuation: Tools and Techniques for Determining the Value of Any Asset. 3rd edition, New York: John Wiley & Sons, Inc.
Google Scholar
13
-
Damodaran, A. Discounted Cash Flow Valuation. http://pages.stern.nyu.edu/~adamodar/pdfiles/eqnotes/dcfallOld.pdf.
Google Scholar
14
-
Damodaran, A. Valuation: Basic. http://people.stern.nyu.edu/adamodar/pdfiles/invphiloh/valuation.pdf
Google Scholar
15
-
Damodaran, A. Damodaran Online: Spreadsheets. http://pages.stern.nyu.edu/~adamodar/New_Home_Page/spreadsh.htm
Google Scholar
16
-
Damodaran, A. Valuation. http://people.stern.nyu.edu/adamodar/pdfiles/cf2E/val.pdf.
Google Scholar
17
-
Garcia, P. G. (2018). Exit through an IPO the case of Science4you. [Conferral of Master in Finance, ISCTE Business School]. Instituto Universitario de Lisboa.
Google Scholar
18
-
Hansen, M. D. & Lüthgens, R. N. (2016). A valuation of an IPO - Scandinavian Tobacco Group. [Master Thesis]. Copenhagen Business School, Copenhagen.
Google Scholar
19
-
Hutapea, E. C., Poernomoputri, T. P., Sihombing, P., et al. (2013). Analisis valuasi nilai wajar saham PT Adaro Energy Tbk menggunakan metode Free-Cash Flow to Firm (FCFF). Journal of Applied Finance and Accounting; 5(2): 240-270.
Google Scholar
20
-
Jardim, E. Á. F. (2017). CTT – Correios de Portugal S.A.: An analysis before the IPO and subsequent stock price evolution. [Conferral of Master in Finance, ISCTE Business School]. Instituto Universitario de Lisboa.
Google Scholar
21
-
Khoirudin, R. (2017). Penilaian saham PT Pembangunan Perumahan Properti dalam rangka Initial Public Offering. Jurnal Keuangan dan Perbankan, 21(1), 37–46.
Google Scholar
22
-
Koller, T., Goedhart, M., Wessels, D. (2020). Valuation: Measuring and Managing the Value of Companies. 7th ed. New Jersey: John Wiley & Sons.
Google Scholar
23
-
Leote, J. D. L. (2014). Equity research Volkswagen (VW) - business valuation and analysis of the implied strategy. [Master’s Final Work Master In Finance, Instituto Superior de Economia e Gestão]. School of Economics & Management, Lisbon.
Google Scholar
24
-
Lesmana, T. & Sun, Y. (2013). Penilaian bisnis dan estimasi nilai intrinsik PT. Garuda Indonesia (Persero), Tbk saat IPO Februari 2011. Binus Business Review, 4(1), 231-248.
Google Scholar
25
-
Maria, T. I., C. (2019). The IPO of Flexdeal, SIMFE, SA. [Conferral of Master in Finance, ISCTE Business School]. Instituto Universitario de Lisboa.
Google Scholar
26
-
Meng, Y. (2017). Valuation of Apple Inc. [Conferral of Master in Finance, ISCTE Business School]. Instituto Universitario de Lisboa.
Google Scholar
27
-
Morsiani, S. (2020). Equity valuation Ferrari N.V. [Dissertation, Catolica Lisbon Business and Economics]. Universitas Catholica Lusitana, Lisbon.
Google Scholar
28
-
Noveriyanto, B. & Yorinda, I. A. (2021). Evaluasi Keputusan Pembelian Saham Saat IPO Pada Tahun 2014-2015 Dengan Menggunakan Discounted Cash Flow. Proceeding Seminar Nasional & Call For Papers STIE AAS. Outlook 2022: Transformasi UMKM di Era Pasar Digital.
Google Scholar
29
-
Pefindo. Beta Saham. https://pefindo.com/index.php/pageman/page/file-list.php?fullpage=1&id=6 and https://pefindo.com/fileman/file/1102
Google Scholar
30
-
Pemerintah Republik Indonesia. Buku II Nota Keuangan Beserta Rancangan Anggaran Pendapatan Dan Belanja Negara Tahun Anggaran 2022.
Google Scholar
31
-
Pemerintah Republik Indonesia. Undang-Undang Republik Indonesia Nomor 8 Tahun 1995 Tentang Pasar Modal, 10 Nopember 1995; Lembaran Negara Republik Indonesia Tahun 1995 Nomor 64. https://peraturan.bpk.go.id/Home/Details/46197/uu-no-8-tahun-1995
Google Scholar
32
-
Petronesia Benimel. 2019. Independent Auditor’s Report Year 2018 and 2017.
Google Scholar
33
-
Petronesia Benimel. 2020. Independent Auditor’s Report Year 2019 and 2018.
Google Scholar
34
-
Petronesia Benimel. 2021. Independent Auditor’s Report Year 2020 and 2019.
Google Scholar
35
-
Petronesia Benimel. Rencana Jangka Panjang Perusahaan.
Google Scholar
36
-
Phatisaran, K. (2018). Discounted cash flow valuation of Star Petroleum Refining Public Company Limited. [Thematic Paper, Master Of Management]. Mahidol University, Thailand.
Google Scholar
37
-
Prayitno, B. N. & Damayanti, S. M. (2019). Stock price valuation of PT. Erajaya Swasembada Tbk. (ERAA) using Discounted Cash Flow Method. Proceeding Book of The 4th ICMEM 2019 and The 11th IICIES 2019, Bali, Indonesia.
Google Scholar
38
-
PP. Laporan Keuangan. https://www.ptpp.co.id/investor-relation/financial-report.
Google Scholar
39
-
PP. Laporan Tahunan. https://www.ptpp.co.id/investor-relation/annual-report.
Google Scholar
40
-
Steiger, F. (2008). The Validity of Company Valuation Using Discounted Cash Flow Methods. Seminar Paper Fall 2008. https://arxiv.org/abs/1003.4881v2.
Google Scholar
41
-
Surasits, P. (2016). Discounted cash flow valuation of Chularat Hospital Public Company Limited. [Thematic Paper, Master Of Management]. Mahidol University, Thailand.
Google Scholar
42
-
Wika. Financial Ratios. https://investor.wika.co.id/financial_ratio.html.
Google Scholar
43
-
Wika. Financial Results. https://investor.wika.co.id/financials.html.
Google Scholar
44
-
Wika. Annual Reports. https://investor.wika.co.id/misc/AR/AR2020.pdf.
Google Scholar
45
-
World Government Bonds. Indonesia 30 Years Bond - Historical Data. http://www.worldgovernmentbonds.com/bond-historical-data/indonesia/30-years/.
Google Scholar
46
Most read articles by the same author(s)
-
Yustitia Fitria,
Raden Aswin Rahadi,
Kurnia Fajar Afgani,
Nur Arief R. Putranto,
Isrochmani Murtaqi,
Taufik Faturohman,
The Influence of Demographic, Financial Literacy and Information Factors on Investment Decision Among Millenial Generations in Bandung , European Journal of Business and Management Research: Vol. 4 No. 6 (2019) -
Bambang Joko Sutarto,
Isrochmani Murtaqi,
The Correlation of Risk Management and Internal Control in Budget RKAP 2020 PT Hutama Karya (Persero) , European Journal of Business and Management Research: Vol. 7 No. 2 (2022)