Startup HR-Tech "Venteny" Immediate IPO, Eyeing Fresh Funds of 422 Billion Rupiah

Startups HR-tech Venteny will enliven the capital market by listing on the Indonesia Stock Exchange on December 14 with a VTNY ticket. Venteny released 939,78 million shares or 15% of the issued and fully paid capital.

Menurut company prospectus, the price offered to the public is around Rp. 350 to Rp. 450 per share, so that the maximum amount of fresh funds obtained from this corporate action is Rp. 422,9 billion.

The company details the use of IPO funds, namely 42% or IDR 177,62 billion will be used for loans to subsidiary PT Venteny Matahari Indonesia. After the funds are returned, as much as 30% of them are used for application development Great Venteny which is engaged in HR management solutions, including strengthening IT, products, business expansion outside Java.

Then, the rest will be used for working capital, including strengthening the team, and marketing strategy so that it can encourage activities to strengthen Venteny brand awareness.

The company also organizes programs employee stock allocation (ESA) with a maximum amount of 1 million shares or 0,11% of the shares offered at the initial public offering for the ESA share program to employees. Also approved the implementation of the Management and Employee Stock Option Plan (MESOP) program with a maximum number of 532,5 million shares or 7,38% of the issued and paid-up capital after the Initial Public Offering, ESA implementation, and MESOP.

BRI Danareksa Sekuritas, Surya Fajar Sekuritas, and Mirae Asset Sekuritas Indonesia were appointed by the company as underwriters in this corporate action.

The initial offer period starts today until November 29. Meanwhile, the estimated date of listing on the IDX is December 14, 2022.

Still from the same source, as of June 2022, Venteny recorded revenue growth of IDR 29,2 billion, up 71% on a year-on-year. The cost of goods was recorded at IDR 18,22 billion, an increase of 196%, while the comprehensive profit for the year was recorded at IDR 4,92 billion, a drastic increase to 2.005%. This increase was in line with net income and an increase in other comprehensive income for foreign exchange differences.

Meanwhile, the company's assets reached IDR 354,52 billion, an increase of 47%. year-to-date and its liabilities also increased to IDR 273,89 billion, an increase of 31%.

Venteny development

Venteny himself is startup HR-tech that provides technology to meet the needs of employees through improvement employee happiness and employee engagement. First introduced to the Philippines market in 2015, through the operational office of VENTENY Inc., this service officially operated in Indonesia in 2019 and established its headquarters here.

Venteny builds an ecosystem employee super app through cooperation with third parties to provide some of its services, such as the Financial Technology Program (V-Nancial), the Technology-Based Insurance Program (VENTENY Insurance & Protection Program) or “VIP”, the Employee Benefits Program (V-Merchant), and the Education-Based Program. Technology (V-Academy).

Through the V-Nancial feature, for example, there are three types employee loans, namely Multipurpose Loans, Education Loans, and Cash Advances which are similar to the selected cash registers. The company cooperates with finance companies that already have permission from the OJK as a source of access to employee emergency funds.

The prospectus also stated that the financial business has bright prospects in Indonesia due to the unfulfilled MSME funding gap. Company position as Actioncalendar have the opportunity, can provide unlimited loans as long as repayment capacity available. Partnering with several p2p companies can cover more markets, but it is possible to acquire one of them.

"When it acquires P2P, the company will have more control over the company's financial business processes and operational activities," the prospectus wrote.

The business model implemented by Venteny consists of three segments, namely B2B, B2B2E and B2C. Contributions from B2B dominate with user growth reaching 161,61% as of March 2022. It is claimed that there are more than 200 corporations that oversee more than 200 thousand employees who are recipients of benefits from Venteny.

Apart from B2B, Venteny will also continue to optimize its services to the B2B2E segment this year and prepare the My Benefits program, which is specially designed based on the orientation of the HR (Human Resources) or HR (Human Resources) division in the company. My Benefits carries a subscription scheme paid by the company for its employees, accessing exclusive features, such as training, insurance, and providing lifestyle support facilities.

In the latest data, Venteny is already operating in 3 countries, namely the Philippines, Singapore and Indonesia, with more than 250.000 users in the Philippines and more than 220.000 users in Indonesia.

Quote from CNBC Indonesia, Founder & Group CEO Venteny Jun Waide said that there are at least two countries the company is targeting in 2023, namely Vietnam and Thailand. According to him, these two countries are considered to have the same potential as Indonesia.