(Bloomberg) — PT Barito Renewables Energy shares plunged by the daily limit for a second day after FTSE Russell said it would exclude the company from its indexes.
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The shares fell 20%, bringing losses since Thursday to nearly 36%. The index compiler said the Indonesian power company will be deleted from its gauges a day after the anticipated entry date, citing “high shareholder concentration.”
Barito in a filing late Sunday said there has been no significant changes to its shareholders’ stakes since its October 2023 listing. Indonesia’s second-biggest company by market value had published its shareholding information, including that of its four stakeholders, to the bourse during its initial public offering, it said. The four shareholders held around 96% stake as of Sept. 19, compared with 97% stated in the company’s IPO prospectus.
FTSE had planned to add the geothermal power producer to its Global All Cap Index series and associated gauges on Monday. The stock will be deleted starting Tuesday, according to FTSE’s statement last week.
Barito surged more than 1,400% since its IPO to a record high reached earlier this month. The shares went on a wild ride earlier this year following its addition to a stock exchange watchlist for volatile and troubled companies.
As much as 11.7% of its shares met the free float requirement as of Sept. 19, according to the statement, citing daily data from the Indonesia Central Securities Depository. “The company will continue to monitor compliance with the free float rules determined by the exchange,” Barito said.
(Corrects to clarify details of shareholding and free float in third and sixth paragraphs, respectively)
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