28/5/2018 – CVC Capital Partners-backed sporting goods retailer MAP Active is planning to tap into the Indonesian public market to raise a target of up to IDR 1.3 trillion (about US$19 million) from a domestic IPO.
According to MAP Active, the company plans to sell around 550 million new shares (equivalent to 18.49 percent of its stake) at a price range of between IDR 2000 to IDR 2400 per share, translating to about US$0.14 to US$0.17.
MAP Active, whose formal name is PT Map Aktif Adiperkasa (MAA) is the sports subsidiary of Mitra Adiperkasa (MAP), Indonesia’s largest retailer of foreign brands.
MAP Active currently has a portfolio of 50 international brands, including Skechers, Reebok, Converse, Onitsuka Tiger, New Era, Rockport, and Payless.
The company claims to have a presence in 64 Indonesian cities through more than 850 sports & kids shop nationwide, consisting of Planet Sports, Sports Station, Kidz Station, Golf House, Planet Sports, Planet Kids, and Planet Sports.
MAP Active’s Head of Corporate Communication, Fetty Kwartati said that MAA will be using 90 percent of the proceeds to repay some of the non-interest bearing bonds issued for Asia Sportswear Holding Pte. Ltd. while remaining funds will be used to finance the company’s working capital.
“By reducing the number of outstanding debts, it is hoped this IPO will strengthen the capital structure of MAA to support its growth,” Kwartati explained.
Besides, if the IPO is successful, MAP Active also plans to use the capital to add an additional 100 new outlets in Indonesia this year.
MAP Active has been reportedly in plans to go IPO since last year as it was understood that CVC had expressed its desire to exit the company by 2020.
The UK-based private equity firm owns a significant minority stake in MAP Active, having invested in the company back in June 2015 with the firm’s fourth Asia Pacific fund, which was closed in May 2014.