Bank Neo Commerce (BNC), an Ant Group-linked digital bank operating in Indonesia, will finally conduct its rights issue in October. That is, if it doesn’t postpone the event again. Tjandra Gunawan, the bank’s director, had initially announced the rights issue for the quarter ended March this year. Then he pushed it to the June quarter. The third attempt—now just a month away—is hopefully the charm.
In a rights issue, a listed company invites existing shareholders to buy additional shares. The time is running out for BNC because it needs cash by year-end.
In January, a rule comes into effect , requiring all banks, even small ones like BNC, to have minimum capital reserves of IDR 3 trillion (~US$ 201 million).