Implementation of Electronic Public Offerings of Equity Securities, Debt Securities, and/or Sukuk

COPY
FINANCIAL SERVICES AUTHORITY REGULATION
OF THE REPUBLIC OF INDONESIA
NUMBER 41 /POJK.04/2020
CONCERNING
THE IMPLEMENTATION OF ELECTRONIC PUBLIC OFFERINGS OF EQUITY SECURITIES, DEBT SECURITIES, AND/OR SUKUK BY THE GRACE OF THE ALMIGHTY GOD THE COMMISSIONERS OF THE FINANCIAL SERVICES AUTHORITY, Considering:
a. that to increase public participation in public offerings, it is necessary to increase the efficiency, effectiveness, transparency, and accountability of the implementation of public offerings, and the role of securities companies in public offerings; b. that the development of information technology, particularly regarding the provision of public access to information and financial transactions, needs to be utilized in efforts to increase the efficiency, effectiveness, transparency, and accountability of the implementation of public offerings;
c. that to provide legal certainty, the operation of an information technology system in public offerings requires regulations regarding the implementation of public offerings of equity securities, debt securities, and/or Sukuk electronically;
d. that based on the considerations referred to in letters a, b, and c, it is necessary to establish a Financial Services Authority Regulation concerning the Implementation of Electronic Public Offerings of Equity Securities, Debt Securities, and/or Sukuk; Recalling:

1. Law Number 8 of 1995 concerning Capital Markets (State Gazette of the Republic of Indonesia Year 1995 Number 64, Supplement to the State Gazette of the Republic of Indonesia Number 3608);
2. Law Number 21 of 2011 concerning the Financial Services Authority (State Gazette of the Republic of Indonesia Year 2011 Number 111, Supplement to the State Gazette of the Republic of Indonesia Number 5253);
   DECIDING:
   Establishing: FINANCIAL SERVICES AUTHABILITY REGULATION CONCERNING THE IMPLEMENTATION OF ELECTRONIC PUBLIC OFFERINGS OF EQUITY SECURITIES, DEBT SECURITIES, AND/OR SUKUK.

CHAPTER I
GENERAL PROVISIONS
Article 1
In this Financial Services Authority Regulation, the following definitions apply:

1. Public Offering is a securities offering activity conducted by an issuer to sell securities to the public in accordance with the procedures regulated in the Capital Markets Law and its implementing regulations.
2. Securities are negotiable instruments, namely debt acknowledgment instruments, commercial paper, shares, bonds, debt certificates, investment contract unit shares, futures contracts over Securities, and any derivatives of Securities.
3. Sukuk are Shariah-compliant Securities in the form of certificates or proof of ownership with equal value representing indivisible or undivided shares (syuyu’/undivided share) over the underlying assets.
4. Party refers to an individual, company, joint venture, association, or organized group.
5. Electronic Public Offering System is an information technology system and/or facility used to carry out activities in Public Offerings.
6. Electronic Public Offering System Provider, hereinafter referred to as System Provider, is a Party appointed by the Financial Services Authority to provide and manage the Electronic Public Offering System.
7. Electronic Public Offering System Participant, hereinafter referred to as System Participant, is a securities company that has obtained a business license from the Financial Services Authority or another Party approved by the Financial Services Authority and has the right to use the Electronic Public Offering System.
8. Electronic Public Offering System Admin Participant, hereinafter referred to as Admin Participant, is a System Participant that has a license as an underwriter of Securities issuance and is appointed by the issuer as the Party responsible for the use of the Electronic Public Offering System.
9. Issuer is a Party conducting a Public Offering.
10. Registration Statement is a document that must be submitted to the Financial Services Authority by the Issuer in the context of a Public Offering or Public Company.
11. Prospectus is any written information related to a Public Offering with the aim for other Parties to purchase Securities.
12. Initial Prospectus is a written document containing all information in the Prospectus submitted to the Financial Services Authority as part of the Registration Statement, except for information regarding nominal value, quantity, and offering price of Securities, underwriting of Securities, bond interest rates, or other matters related to offering requirements that cannot yet be determined.
13. Initial Offering is an invitation, whether direct or indirect, using the Initial Prospectus, which among other things aims to determine the interest of potential buyers in the Securities to be offered and/or the estimated offering price of the Securities.
14. Summary Prospectus is a summary of the contents of the Initial Prospectus.
15. Underwriter of Securities is a Party that enters into a contract with the Issuer to conduct a Public Offering on behalf of the Issuer with or without the obligation to purchase remaining unsold Securities.
16. Securities Company is a Party conducting business activities as a Securities Underwriter, securities broker, and/or investment manager.
17. Stock Exchange is a Party that operates and provides systems and/or facilities to match buy and sell offers of other Parties with the aim of trading Securities among them.
18. Clearing and Guarantee Institution is a Party that provides clearing and guarantee services for the settlement of exchange transactions.
19. Securities Settlement Institution is a Party that conducts central custody activities for custodian banks, Securities Companies, and other Parties.
20. Custodian Bank is a general bank that has obtained approval from the Financial Services Authority to conduct business activities as a custodian.
21. Retail Orderer is a Party that expresses interest in the Securities to be offered and/or places orders for the offered Securities with a value of at most Rp100,000,000.00 (one hundred million rupiah).
22. Fixed Allocation is a mechanism for allocating Securities by providing allocations to orderers according to the quantity of Securities ordered.
23. Centralized Allocation is a mechanism for allocating Securities by collecting all Securities orders and then allocating them according to procedures.
24. Retail Centralized Allocation is an allocation that is part of Centralized Allocation executed for Retail Orderers.
25. Single Investor Identification Number or Single Investor Identification (SID) is a unique and special code issued by the Securities Settlement Institution and used by customers, investors, and/or other Parties in accordance with statutory regulations to conduct activities related to Securities transactions and/or using other services provided by the Securities Settlement Institution, Parties appointed by the Securities Settlement Institution, or statutory regulations.
26. Customer Funds Account, hereinafter referred to as RDN, is a customer funds account in a bank appointed by the Securities Settlement Institution in accordance with statutory regulations, administered by securities brokers based on power of attorney or instructions from customers.
27. Sub-account for Securities, hereinafter referred to as SRE, is the securities account of each customer recorded in the participant's securities account at the Securities Settlement Institution.
28. Collateral Sub-account for Securities is an SRE used by clearing member customers to place collateral in the form of Securities and/or funds that can be used by the Clearing and Guarantee Institution to settle exchange transactions and/or settle the obligations of clearing member customers.
29. Exchange Transaction is a contract made by Stock Exchange members in accordance with the requirements determined by the Stock Exchange regarding the sale and purchase of Securities, borrowing and lending of Securities, or other contracts regarding Securities or the price of Securities.
30. Stock Exchange Member is a securities broker that has obtained a business license from the Financial Services Authority and has the right to use the Stock Exchange systems and/or facilities in accordance with Stock Exchange regulations.
31. Clearing Member is a Stock Exchange Member or other Party, who meets the requirements to obtain clearing and guarantee services for the settlement of Exchange Transactions based on Clearing and Guarantee Institution regulations.

CHAPTER II
ELECTRONIC PUBLIC OFFERING SYSTEM
First Section
System Provider
Article 2
(1) The System Provider is appointed by the Financial Services Authority.
(2) The System Provider as referred to in paragraph (1) consists of the Stock Exchange, Clearing and Guarantee Institution, and Securities Settlement Institution.
(3) The Stock Exchange, Clearing and Guarantee Institution, and Securities Settlement Institution as System Providers must:
a. provide a continuous Electronic Public Offering System together in accordance with their respective functions; b. be responsible for the operation and management of the Electronic Public Offering System according to their authority;
c. have and establish standard operating procedures for the operation of the Electronic Public Offering System;
d. ensure that the Electronic Public Offering System can be used for electronic Public Offering activities and maintain its continuity; e. follow and apply adequate control and security principles for the Electronic Public Offering System in accordance with Indonesian statutory regulations, and/or national or international standards; f. inform users of the Electronic Public Offering System in case of system changes or developments, including the addition of services and system features; g. provide audit trails of the entire process in the Electronic Public Offering System for supervision, law enforcement, dispute resolution, verification, testing, and other examinations by the Financial Services Authority or other parties with the approval of the Financial Services Authority; h. maintain the confidentiality of user data and information as well as the use of the Electronic Public Offering System;
i. store data and information on the use of the Electronic Public Offering System for the document retention period in accordance with statutory regulations;
j. provide data, information, and reports related to Public Offering activities conducted through the Electronic Public Offering System whenever required by the Financial Services Authority; k. provide information and disclaimers regarding the rights and obligations of users of the Electronic Public Offering System; and
l. have and establish backup facilities for the data center and disaster recovery center related to the operation of the Electronic Public Offering System in Indonesia in a safe location separate from the main data center.
Article 3
In addition to the obligations as referred to in Article 2 paragraph (3), the Stock Exchange must:
a. build and manage the Electronic Public Offering System in relation to functions related to user administration, information announcements, Initial Offerings, Securities offerings, Securities allocation, reporting, and databases; b. ensure that procedures and processes related to the functions as referred to in letter a are implemented in accordance with statutory regulations;
c. provide a public-accessible website for the Electronic Public Offering System;
d. provide usage guidelines for the Electronic Public Offering System; e. provide a help center for users of the Electronic Public Offering System; f. provide integration facilities for System Participants; and g. provide access rights to System Participants for the use of the Electronic Public Offering System.
Article 4
In addition to the obligations as referred to in Article 2 paragraph (3), the Clearing and Guarantee Institution must:
a. develop the Electronic Public Offering System to perform functions in Public Offerings through electronic systems, namely verifying order funds and settling order transactions for Securities offered in Public Offerings based on data received by the Electronic Public Offering System; b. operate and manage the system as referred to in letter a;
c. perform verification of order fund availability in accordance with order data;
d. execute the transfer of order funds in accordance with allocation results to continue the Public Offering settlement process through the Electronic Public Offering System; e. transfer order funds to Admin Participants through mechanisms determined by the Clearing and Guarantee Institution; and f. distribute Securities to orderers in accordance with final allocation results.
Article 5
In addition to the obligations as referred to in Article 2 paragraph (3), the Securities Settlement Institution must:
a. provide the Electronic Public Offering System to perform Public Offering functions through electronic systems, namely storage in collective custody at the Securities Settlement Institution and settlement of order transactions for Securities offered in Public Offerings; b. store uncertificated Securities in collective custody;
c. perform settlement of the transfer of Securities and/or funds as referred to in Article 4 letter e; and
d. manage the system to perform all settlement instructions for the Public Offering process electronically.
Article 6
In operating and managing the Electronic Public Offering System as referred to in Article 2 paragraph (3) letter b, the System Provider may:
a. issue regulations regarding the use of the Electronic Public Offering System; b. enter into agreements with Parties related to the implementation of Public Offerings of Securities conducted using the Electronic Public Offering System; and/or
c. charge fees for the use of the Electronic Public Offering System, after obtaining approval from the Financial Services Authority.
Second Section
System Participants and Admin Participants
Article 7
(1) System Participants must be:
a. Securities Companies that have a business license from the Financial Services Authority as Securities Underwriters and/or securities brokers; or b. other Parties approved by the Financial Services Authority. (2) System Participants that are not Clearing Members must have an agreement with Clearing Members for settlement purposes.
Article 8
(1) Admin Participants must be executing underwriters of Securities issuance.
(2) In the event that there is more than one (1) executing underwriter of Securities issuance, the Issuer must appoint one of the executing underwriters as the Admin Participant.
Article 9
(1) System Participants have the right to submit requests to obtain access rights to use the Electronic Public Offering System to the System Provider.
(2) The System Provider must grant access rights to use the Electronic Public Offering System upon requests as referred to in paragraph (1) to System Participants that meet the requirements set by the System Provider. Third Section Activities in the Electronic Public Offering System
Article 10
(1) Issuers must use the Electronic Public Offering System if:
a. the Public Offering is conducted using the services of a Securities Underwriter; and b. the Securities offered through the Public Offering will be listed on a Stock Exchange. (2) The Financial Services Authority may establish other regulations regarding requirements for Issuers as referred to in paragraph (1) as Parties who must or may use the Electronic Public Offering System. (3) Public Offerings as referred to in paragraph (1) include:
a. Public Offerings of Equity Securities; b. Public Offerings of Debt Securities and/or Sukuk; and
c. other Public Offerings established by the Financial Services Authority.
Article 11
Issuers conducting activities in Public Offerings using the Electronic Public Offering System must comply with statutory regulations in the capital market sector regarding registration procedures in the context of Public Offerings as well as ordering and allocation of Securities in Public Offerings, unless otherwise specifically regulated in this Financial Services Authority Regulation.
Article 12
(1) The Electronic Public Offering System must cover all activities in Public Offerings and must generate reports related to Public Offering activities.
(2) Activities in Public Offerings as referred to in paragraph (1) include at least:
a. Initial Offerings; b. Securities offerings;
c. Securities allocation; and
d. settlement of orders for offered Securities.
(3) Reports related to Public Offering activities as referred to in paragraph (1) include at least reports on:
a. the results of Initial Offerings; b. the results of Public Offerings;
c. allocation; and
d. distribution of Securities.
(4) The Financial Services Authority, System Providers, System Participants, and Admin Participants, according to their authority in Public Offering activities, and other Parties with the approval of the Financial Services Authority, may obtain reports generated by the Electronic Public Offering System.
Article 13
Each investor and System Participant is responsible for the accuracy and validity of information and data inputted into the Electronic Public Offering System according to their authority.
Article 14
Admin Participants must be responsible for the use of the Electronic Public Offering System.

CHAPTER III
INFORMATION REGARDING PUBLIC OFFERINGS AND SCHEDULE OF ACTIVITIES IN PUBLIC OFFERINGS First Section Information Regarding Public Offerings
Article 15
(1) Issuers must announce information regarding Public Offerings through the Electronic Public Offering System and daily newspapers in Indonesian with national circulation.
(2) The obligation to announce information regarding Public Offerings through the Electronic Public Offering System as referred to in paragraph (1) is carried out by the Issuer through the Admin Participant by inputting data and information and uploading documents onto the Electronic Public Offering System. (3) Documents uploaded as referred to in paragraph (2) must include at least:
a. Initial Prospectus, if Initial Offerings are conducted; b. Summary Prospectus or information disclosure regarding Public Offerings for small-scale Issuers and medium-scale Issuers;
c. corrections and/or additions to the Summary Prospectus or information disclosure regarding Public Offerings for small-scale Issuers and medium-scale Issuers; and
d. Prospectus.
(4) The deadline for uploading documents as referred to in paragraph (3) follows the announcement deadlines as referred to in statutory regulations in the capital market sector regarding registration procedures in the context of Public Offerings.
Article 16
(1) In the event of a postponement of the Public Offering period or cancellation of the Public Offering, the Issuer must announce the postponement of the Public Offering period or cancellation of the Public Offering in accordance with statutory regulations in the capital market sector regarding registration procedures in the context of Public Offerings conducted through the Electronic Public Offering System. (2) Announcements of postponement of the Public Offering period or cancellation of the Public Offering through the Electronic Public Offering System as referred to in paragraph (1) must be conducted no later than on the same day as announcements made through daily newspapers in Indonesian with national circulation.
Article 17
(1) In the event that an Issuer will conduct Initial Offerings, the Issuer must announce information regarding Public Offerings through at least one (1) daily newspaper in Indonesian with national circulation, except for small-scale Issuers or medium-scale Issuers. (2) For small-scale Issuers or medium-scale Issuers, the announcement obligation as referred to in paragraph (1) is carried out by distributing information related to Public Offerings as regulated in statutory regulations in the capital market sector regarding registration procedures in the context of Public Offerings. (3) Announcements as referred to in paragraph (1) and paragraph (2) must be conducted no later than 2 (two) working days after receiving a statement from the Financial Services Authority that the Issuer may:
a. announce the Summary Prospectus and/or conduct Initial Offerings; or b. conduct Initial Offerings and/or distribute information related to Public Offerings, for small-scale Issuers and medium-scale Issuers. (4) Announcements as referred to in paragraph (1) must contain at least the following information:
a. Issuer name; b. address, logo if a logo exists, telephone number, facsimile number, email, and website;
c. main business activities of the Issuer;
d. information regarding Securities, containing at least:

1. type and estimated quantity of Securities;

2. brief description of the offered Securities; and

3. range of Initial Offering prices;
   e. Initial Offering period, estimated effective date of the Registration Statement from the Financial Services Authority, estimated Securities offering period, estimated allocation date, estimated distribution date, and estimated listing date if the Securities will be listed on a Stock Exchange; f. Securities Underwriter; g. statement that Initial Offerings, Securities offerings, allocation, and distribution of Securities will be conducted using the Electronic Public Offering System; and h. statement that more detailed information regarding Public Offerings can be obtained on the Electronic Public Offering System, accompanied by links to the Electronic Public Offering System website.
   Article 18
   (1) After the effectiveness of the Registration Statement and before the start of the Public Offering period, the Issuer must announce information regarding Public Offerings through at least one (1) daily newspaper in Indonesian with national circulation. (2) Announcements as referred to in paragraph (1) must be conducted no later than 1 (one) working day after the effectiveness of the Registration Statement. (3) Announcements as referred to in paragraph (1) must contain at least the following information:
   a. Issuer name; b. address, logo if a logo exists, telephone number, facsimile number, email, and website;
   c. main business activities of the Issuer;
   d. information regarding Securities, containing at least:

4. type and quantity of Securities;

5. brief description of the offered Securities; and

6. Public Offering price of Securities;
   e. effective date of the Registration Statement from the Financial Services Authority, Securities offering period, allocation date, distribution date of Securities, and listing date of Securities on the Stock Exchange; f. Securities Underwriter; g. statement that Securities offerings, allocation, and distribution of Securities will be conducted using the Electronic Public Offering System; and h. statement that more detailed information regarding Public Offerings can be obtained on the Electronic Public Offering System, accompanied by links to the Electronic Public Offering System website. Second Section
   Schedule of Activities in Public Offerings
   Article 19
   In conducting Public Offering activities using the Electronic Public Offering System, Issuers must comply with the following provisions:
   a. the Initial Offering period may begin after:

7. inputting data and information regarding Public Offerings as referred to in Article 15 paragraph (2); and

8. uploading the Initial Prospectus and Summary Prospectus or uploading information disclosure regarding Public Offerings as referred to in Article 15 paragraph (3) letters a and b, has been completed;
   b. the Securities offering period is conducted for at least 3 (three) working days and at most 5 (five) working days, with the provision that it can only begin after:

9. inputting data and information regarding the Public Offering as referred to in Article 15 paragraph (2); and

10. uploading corrections and/or additions to the Summary Prospectus and Prospectus as referred to in Article 15 paragraph (3) letter c and letter d,
    has been completed;
    c. securities allocation must be implemented after the end of the securities offering period;
    d. settlement of securities orders must be implemented after the publication of the securities allocation results and no later than before the listing of securities on the Stock Exchange; and e. listing of securities on the Stock Exchange must be implemented on the second (2nd) trading day after the end of the securities offering period.

CHAPTER IV
DELIVERY OF INTEREST AND ORDERS

First Section
Requirements and Procedures

Article 20
(1) Investors may submit interest in securities to be offered and/or orders for securities offered through the Electronic Public Offering System.
(2) Investors as referred to in paragraph (1) must possess:
a. SID (Investor Identification Number); b. Sub-account for Guarantee Securities; and
c. RDN (Securities Trading Account).
(3) The requirement to possess a Sub-account for Guarantee Securities as referred to in paragraph (2) letter b and RDN as referred to in paragraph (2) letter c does not apply to institutional investors who are clients of Custodian Banks making orders for Fixed Allocation.

Article 21
(1) Each investor may only submit 1 (one) interest and/or order through each System Participant for Centralized Allocation in each Public Offering of Securities.
(2) The submission of interest in securities to be offered and/or orders for securities offered through the Electronic Public Offering System must be submitted:
a. directly through the Electronic Public Offering System; b. through a Securities Company that is a System Participant where the respective investor is a client; and/or
c. through a Securities Company that is not a System Participant where the respective investor is a client.

Article 22
Each investor who will submit interest and/or orders for Fixed Allocation may only submit interest and/or orders through a Securities Company that is an Underwriter.

Article 23
(1) Investor interest and/or orders as referred to in Article 21 paragraph (2) letter a must be verified by the System Participant where the investor is registered as a client.
(2) Investor interest and/or orders as referred to in Article 21 paragraph (2) letter b must be verified by the aforementioned System Participant and subsequently forwarded to the Electronic Public Offering System by the System Participant. (3) Investor interest and/or orders as referred to in Article 21 paragraph (2) letter c must be verified by the respective Securities Company and subsequently submitted to the System Participant to be forwarded to the Electronic Public Offering System. (4) Investor interest and/or orders as referred to in Article 22 submitted through a System Participant that is an Underwriter but not a Clearing Member must deposit settlement for their orders to a System Participant that is a Clearing Member to be forwarded to the Electronic Public Offering System.

Article 24
(1) System Participants and Securities Companies receiving interest and/or orders as referred to in Article 21 paragraph (2) letter b and letter c as well as Article 22 must document the submission of investor interest and/or orders. (2) Documentation as referred to in paragraph (1) must at least include data and information that must be filled in the interest submission form and order submission form in the Electronic Public Offering System.

Article 25
(1) System Participants may only forward 1 (one) interest and/or 1 (one) order for Centralized Allocation from the same investor into the Electronic Public Offering System.
(2) Underwriters that are System Participants must perform input processes for the submission of investor interest and/or orders for Fixed Allocation to the Electronic Public Offering System.

Second Section
Submission of Interest in Securities to be Offered

Article 26
(1) Investors may only submit interest in securities to be offered through the Electronic Public Offering System during the Initial Offering period.
(2) The submission of interest as referred to in paragraph (1) must at least contain:
a. the number of securities and price of securities of interest, for Public Offerings of Equity Securities; b. the value of securities, interest rate, and term of debt securities of interest, for Public Offerings of Debt Securities; or
c. the value of Sukuk, term of Sukuk, and the magnitude of profit-sharing ratio, margin, or remuneration according to the characteristics of the chosen Sharia contract, for Public Offerings of Sukuk.

Article 27
(1) Investors may change and/or cancel submitted interest during the Initial Offering period before it ends through the System Participant.
(2) In the event that an investor changes and/or cancels interest as referred to in paragraph (1), the System Participant must perform the interest change and/or cancellation in the Electronic Public Offering System. (3) Interest changes and/or cancellations as referred to in paragraph (1) are declared valid after receiving confirmation from the Electronic Public Offering System.

Third Section
Orders for Offered Securities

Article 28
(1) Investors must state that they have received or have had the opportunity to read the Prospectus regarding the securities offered before or at the time of placing an order.
(2) In the event that orders are placed through a System Participant or a Securities Company that is not a System Participant, the statement as referred to in paragraph (1) is made through the System Participant.

Article 29
(1) In the event that at the end of the Initial Offering period the price of securities submitted at the time of interest submission by the investor is the same as or higher than the offering price of securities established, the interest submitted by such investor will be forwarded into securities orders at a price according to the offering price of securities after prior confirmation by the investor during the offering period. (2) Confirmation as referred to in paragraph (1) is conducted by the investor by stating that the investor has received or had the opportunity to read the Prospectus regarding the securities offered before or at the time the order is placed. (3) In the event that an investor submits interest in securities to be offered directly through the Electronic Public Offering System as referred to in Article 21 paragraph (2) letter a, confirmation as referred to in paragraph (1) is conducted directly by the investor through the Electronic Public Offering System. (4) In the event that an investor submits interest in securities to be offered through a System Participant and a Securities Company that is not a System Participant as referred to in Article 21 paragraph (2) letter b and letter c, confirmation as referred to in paragraph (1) is conducted by the System Participant on behalf of the investor in the Electronic Public Offering System. (5) Before conducting confirmation as referred to in paragraph (4), the System Participant must first conduct confirmation to the investor and Securities Company outside the Electronic Public Offering System.

Article 30
(1) Investor orders for offered securities are submitted through the Electronic Public Offering System during the offering period.
(2) Orders as referred to in paragraph (1) must at least contain:
a. the number of securities ordered, for Public Offerings of Equity Securities; b. the value of securities and term of debt securities ordered, for Public Offerings of Debt Securities; or
c. the value of Sukuk and term of Sukuk ordered, for Public Offerings of Sukuk.
(3) Investors placing orders for securities for Fixed Allocation may only place orders for securities for Centralized Allocation through the System Participant where the investor submits orders for securities for Fixed Allocation.

Article 31
(1) Investors may change and/or cancel their orders during the offering period before it ends through the System Participant.
(2) In the event that an investor changes and/or cancels orders as referred to in paragraph (1), the System Participant must perform the order change and/or cancellation in the Electronic Public Offering System. (3) Order changes and/or cancellations as referred to in paragraph (1) are declared valid after receiving confirmation from the Electronic Public Offering System.

Article 32
(1) Admin Participants allocate portions of Fixed Allocation to Underwriters.
(2) Underwriters have the right to determine and/or adjust investor orders that will receive Fixed Allocation.
(3) The input process or adjustment of input of investor orders that will receive Fixed Allocation as referred to in paragraph (2) to the Electronic Public Offering System is conducted during the offering period.

Fourth Section
Provision of Order Funds for Securities

Article 33
(1) Ordering securities must be accompanied by sufficient available funds.
(2) In the event that available funds are insufficient, orders will only be fulfilled according to the amount of available funds, in multiples according to the trading unit of the Stock Exchange. (3) Further regulations regarding the provision of funds and verification of fund availability for securities orders are established by the Financial Services Authority (OJK).

CHAPTER V
PRICE AND NUMBER OF SECURITIES IN PUBLIC OFFERINGS

First Section
Price Range and Number of Securities to be Offered

Article 34
Initial Offerings of securities to be offered must use a specific price range.

Article 35
(1) Issuers may change the price range during the Initial Offering period.
(2) In the event of a price range change, the Initial Offering period must have a remaining period of at least 3 (three) working days after such change.
(3) Price range changes as referred to in paragraph (2) may be conducted no later than 3 (three) working days before the confirmation deadline or the absence of information regarding the number and price of offered securities, underwriting of securities, and/or the magnitude of profit-sharing ratio, margin, or remuneration according to the characteristics of Sharia contracts in accordance with regulations in the capital market sector regarding registration procedures for Public Offerings. (4) Information on price range changes and the Initial Offering period is input and announced in the Electronic Public Offering System.

Second Section
Price and Number of Securities Offered

Article 36
Issuers and Underwriters establish the offering price and number of securities offered by considering the results of the Initial Offering.

Article 37
In the event that the established price and number of securities offered are outside the demand curve of the Initial Offering generated by the Electronic Public Offering System, the Issuer must disclose an explanation of the considerations for establishing the price and number of securities offered in the Prospectus.

CHAPTER VI
ALLOCATION OF SECURITIES AND ADJUSTMENT OF ALLOCATION

First Section
Allocation of Securities for Centralized Allocation

Article 38
(1) Issuers must allocate a certain amount of offered securities for Centralized Allocation according to the category of Public Offering.
(2) A certain amount of allocation for Centralized Allocation as referred to in paragraph (1) must be allocated for Retail Centralized Allocation.
(3) Regulations on the categorization of Public Offerings and limits on allocation for Centralized Allocation as referred to in paragraph (1) and paragraph (2) must follow regulations regarding the categorization of Public Offerings and limits on allocation for Centralized Allocation.

Article 39
(1) A certain amount of offered securities for Centralized Allocation as referred to in Article 38 paragraph (1) and paragraph (2) may be allocated to investors with specific categories. (2) The magnitude of allocation for investors with specific categories as referred to in paragraph (1) must be disclosed in the Prospectus. (3) Allocations for investors with specific categories as referred to in paragraph (1) and paragraph (2) must follow regulations regarding allocation of securities for investors with specific categories. (4) Further regulations regarding allocation of securities for investors with specific categories as referred to in paragraph (3) are established by the Financial Services Authority (OJK).

Second Section
Adjustment of Allocation of Securities

Article 40
(1) In the event of excess orders for securities in Centralized Allocation with specific limits, the number of securities allocated for Centralized Allocation must be adjusted.
(2) Adjustment of the number of securities allocation as referred to in paragraph (1) is determined based on the number of orders in Centralized Allocation compared to the specific limit that must be allocated for Centralized Allocation. (3) Excess orders for securities in Centralized Allocation with specific limits as referred to in paragraph (1) and adjustment of allocation of securities as referred to in paragraph (2) must follow regulations regarding limits and adjustment of allocation of securities for Centralized Allocation. (4) Information regarding the adjustment of allocation of securities to be applied in accordance with regulations as referred to in paragraph (1) and paragraph (2) must be disclosed in the Prospectus.

Article 41
In the event of insufficient orders in Fixed Allocation, remaining securities allocated to Fixed Allocation are allocated to Centralized Allocation.

Article 42
Further regulations regarding limits on allocation of securities for Centralized Allocation as referred to in Article 38 paragraph (3), as well as excess orders for securities in Centralized Allocation with specific limits and adjustment of allocation of securities as referred to in Article 40 paragraph (3) are established by the Financial Services Authority (OJK).

CHAPTER VII
ALLOCATION OF SECURITIES

First Section
Centralized Allocation

Article 43
In the event that there is more than 1 (one) order in Centralized Allocation from the same investor through different System Participants, such orders must be combined into 1 (one) order.

Article 44
(1) In the event of insufficient orders in Retail Centralized Allocation, remaining available securities are allocated to Centralized Allocation other than retail.
(2) In the event of insufficient orders in Centralized Allocation other than retail, remaining available securities are allocated to Retail Centralized Allocation.

Article 45
(1) In the event that the number of securities ordered by investors in Centralized Allocation exceeds the number of securities allocated for Centralized Allocation, including after considering allocation adjustments as referred to in Article 40, the Electronic Public Offering System performs securities allocation procedures. (2) Further regulations regarding securities allocation procedures are established by the Financial Services Authority (OJK).

Article 46
(1) In the event of excess orders in Centralized Allocation without considering orders from investors who submit orders for Centralized Allocation but also place orders for Fixed Allocation, orders in Centralized Allocation from such investors are not considered. (2) In the event of insufficient orders in Centralized Allocation without considering orders from investors who submit orders for Centralized Allocation but also place orders for Fixed Allocation, orders in Centralized Allocation from such investors receive proportional allocation. (3) In the event that the number of securities allocated to investors as referred to in paragraph (2) is less than the number of orders placed or there are remaining securities from rounding, such securities are allocated based on the chronological order of order submission until the remaining securities are exhausted.

Article 47
(1) For investors who have orders through more than 1 (one) System Participant, obtained securities are allocated proportionally for orders in each respective System Participant. (2) In the event that the number of securities allocated to investors as referred to in paragraph (1) is less than the number of orders placed or there are remaining securities from rounding, such securities are allocated based on the chronological order of order submission until the remaining securities are exhausted.

Article 48
In the event that there are allocations of securities for investors with specific categories as referred to in Article 39 and after conducting allocation procedures as referred to in Article 45, if allocations for specific investors are not yet fulfilled, allocation procedures as referred to in Article 45 are conducted first on the group of investors with specific categories according to the number of securities allocated.

Second Section
Fixed Allocation

Article 49
(1) In the event of adjustment of allocation of securities for Centralized Allocation as referred to in Article 40 using sources of securities from allocations for Fixed Allocation, fulfillment of orders in Fixed Allocation is adjusted according to the available number of securities. (2) Adjustment of fulfillment of orders in Fixed Allocation as referred to in paragraph (1) must follow regulations regarding adjustment of fulfillment of orders for Fixed Allocation. (3) Regulations regarding adjustment of fulfillment of orders as referred to in paragraph (2) are established by the Financial Services Authority (OJK).

CHAPTER VIII
UNDERWRITING OF SECURITIES

Article 50
(1) Underwriters must comply with the underwriting agreement made with the Issuer.
(2) In executing the contract as referred to in paragraph (1), Underwriters must provide funds to fulfill their obligations no later than before the distribution of securities by the System Provider.

Article 51
(1) In the event that at the time of distribution of securities by the System Provider, based on data in the Electronic Public Offering System, the Underwriter cannot fulfill the fund provision obligation as referred to in Article 50 paragraph (2) then:
a. The Stock Exchange imposes a temporary trading ban on the Stock Exchange to Underwriters that are Stock Exchange Members; and b. The System Provider restricts access to the Electronic Public Offering System to Underwriters if the Underwriter is a System Participant. (2) The temporary trading ban and access restriction as referred to in paragraph (1) do not apply to activities:
a. Underwriters in fulfilling settlement obligations for Stock Exchange transactions that have been conducted before the issuance of the temporary trading ban and access restriction; b. Underwriters in executing their functions as custodians; and
c. other underwriting activities conducted by Underwriters where Issuers using their services have submitted Registration Statements to the Financial Services Authority (OJK) before the access restriction is implemented.
(3) The temporary trading ban and access restriction as referred to in paragraph (1) apply until there is a further determination by the Financial Services Authority (OJK).

CHAPTER IX
SETTLEMENT OF SECURITIES ORDERS

Article 52
(1) Settlement of securities orders is implemented using the Electronic Public Offering System, except for settlement of orders for institutional investors who are clients of Custodian Banks making orders for Fixed Allocation, which is conducted outside the Electronic Public Offering System. (2) Further regulations regarding procedures for settlement of securities orders are established by the Financial Services Authority (OJK).

Article 53
(1) Funds from Public Offerings are submitted to Admin Participants on behalf of the Issuer.
(2) Admin Participants as referred to in paragraph (1) must submit funds from Public Offerings to the Issuer no later than 1 (one) trading day before the date of listing of securities on the Stock Exchange. (3) Regulations to implement obligations regarding the submission of funds from Public Offerings as referred to in paragraph (1) and paragraph (2) must be contained in the underwriting agreement.

CHAPTER X
OTHER PROVISIONS

Article 54
(1) In the event of failure of the Electronic Public Offering System, the System Provider may adjust the time frame of activities in the Public Offering or take other actions for the settlement of Public Offering activities. (2) In the event of other circumstances beyond the control and power of the System Provider, the System Provider may adjust the time frame of activities in the Public Offering or take other actions in the context of settling Public Offering activities with the approval of the Financial Services Authority (OJK).

CHAPTER XI
ADMINISTRATIVE SANCTIONS

Article 55
(1) Any Party violating regulations as referred to in Article 2 paragraph (3), Article 3, Article 4, Article 5, Article 7 paragraph (1), Article 8 paragraph (1), Article 9 paragraph (2), Article 10 paragraph (1) and paragraph (2), Article 11, Article 14, Article 15 paragraph (1) and paragraph (3), Article 16, Article 17 paragraph (1), paragraph (3), and paragraph (4), Article 18, Article 19, Article 21 paragraph (2), Article 23 paragraph (1), paragraph (2), and paragraph (3), Article 24, Article 25 paragraph (2), Article 29 paragraph (5), Article 35 paragraph (2), Article 37, Article 38, Article 39 paragraph (3), Article 40 paragraph (1), paragraph (2), and paragraph (3), Article 49 paragraph (2), Article 50, Article 53 paragraph (2) and paragraph (3) shall be subject to administrative sanctions. (2) Sanctions as referred to in paragraph (1) are also imposed on Parties causing the violations as referred to in paragraph (1). (3) Sanctions as referred to in paragraph (1) and paragraph (2) are imposed by the Financial Services Authority (OJK). (4) Administrative sanctions as referred to in paragraph (1) include:
a. written warning; b. fines, namely the obligation to pay a certain amount of money;
c. restriction of business activities;
d. suspension of business activities; e. revocation of business licenses; f. cancellation of approvals; and g. cancellation of registrations.
(5) Administrative sanctions as referred to in paragraph (4) letter b, letter c, letter d, letter e, letter f, or letter g may be imposed with or without prior imposition of administrative sanctions in the form of written warnings as referred to in paragraph (4) letter a. (6) Administrative sanctions in the form of fines as referred to in paragraph (4) letter b may be imposed separately or together with the imposition of administrative sanctions as referred to in paragraph (4) letter c, letter d, letter e, letter f, or letter g. (7) Procedures for imposing sanctions as referred to in paragraph (3) are conducted in accordance with applicable regulations.

Article 56
In addition to administrative sanctions as referred to in Article 55 paragraph (4), the Financial Services Authority (OJK) may take specific actions against any Party violating regulations in this Financial Services Authority Regulation.

Article 57
The Financial Services Authority (OJK) may announce the imposition of administrative sanctions as referred to in Article 55 paragraph (4) and specific actions as referred to in Article 56 to the public.

CHAPTER XII
CLOSING PROVISIONS

Article 58
(1) Regulations on the use of the Electronic Public Offering System for Public Offerings of Equity Securities as referred to in Article 10 paragraph (3) letter a and Equity Securities to be offered in the form of shares shall apply to Issuers who submit...

Registration Statement to the Financial Services Authority after 6 (six) months calculated from the date this Financial Services Authority Regulation comes into force.
(2) At the time this Financial Services Authority Regulation comes into force, Issuers intending to conduct a Public Offering as referred to in Article 10 paragraph (3) letter a and Equity Securities intended to be offered in the form of shares, may use the Electronic Public Offering System. (3) In the event that an Issuer uses the Electronic Public Offering System as referred to in paragraph (2) before the provisions on the use of the Electronic Public Offering System become applicable to the Issuer as referred to in paragraph (1), the Issuer is not yet required to comply with the provisions regarding limits and adjustments of Security allocations as referred to in Articles 40 to 42.

Article 59
The implementation of provisions on the obligation to use the Electronic Public Offering System for Public Offerings other than Public Offerings of Equity Securities in the form of shares is determined by the Financial Services Authority.

Article 60
This Financial Services Authority Regulation comes into force on the date of its promulgation.

This copy corresponds to the original
Director of Legal Affairs 1
Legal Department signed
Mufli Asmawidjaja

In order that everyone knows it, ordering the promulgation of this Financial Services Authority Regulation by placing it in the State Gazette of the Republic of Indonesia.
Determined in Jakarta on July 1, 2020
CHAIRMAN OF THE COMMISSIONERS COUNCIL
FINANCIAL SERVICES AUTHORITY
REPUBLIC OF INDONESIA, signed
WIMBOH SANTOSO

Promulgated in Jakarta on July 2, 2020
MINISTER OF LAW AND HUMAN RIGHTS
REPUBLIC OF INDONESIA, signed
YASONNA H. LAOLY
STATE GAZETTE OF THE REPUBLIC OF INDONESIA YEAR 2020 NUMBER 156

EXPLANATION
OF
FINANCIAL SERVICES AUTHORITY REGULATION
OF THE REPUBLIC OF INDONESIA
NUMBER 41 /POJK.04/2020
CONCERNING
IMPLEMENTATION OF ELECTRONIC PUBLIC OFFERING ACTIVITIES FOR EQUITY SECURITIES, DEBT SECURITIES, AND/OR SUKUK

I. GENERAL
The capital market becomes one of the alternative funding sources for Issuers to develop their business in the long term. The capital market brings together Issuers as parties needing funds with investors as owners of funds. To support a strong capital market in performing its role in the financial industry, a program for deepening the financial market is carried out both from the demand side and the supply side. In order to support the financial market deepening program, it is necessary to increase the efficiency, effectiveness, transparency, and accountability of Public Offering implementation. Efficiency and effectiveness in Public Offerings are expected to provide benefits to investors, Issuers, and other market players in terms of economic aspects and time. Transparency and accountability can increase public trust in the capital market for investment purposes and for Issuers to raise funds. However, there are problems faced concerning Public Offerings, particularly in the initial share offering market. In recent years, although the number of Issuers conducting initial share Public Offerings tends to increase, there has been a decrease in the number of investors and Securities Companies participating in those initial share Public Offerings. The current business model for implementing initial share Public Offerings is indicated to be less supportive of increasing investor and Securities Company participation. To encourage increased public investor participation in Public Offerings, ease of ordering Securities and Security allocation for Centralized Distribution needs to be improved. The current Public Offering business process for Centralized Distribution is relatively difficult to access given that it is carried out manually through ordering booths. Utilization of information technology can provide convenience for investors to order Securities in Public Offerings. Meanwhile, the availability of adequate Securities for public investors provides better opportunities for investors to obtain Security allocations. Furthermore, the determination of the offering price and the number of Securities offered in initial share Public Offerings also needs to improve transparency and accountability. This is necessary to increase the confidence of stakeholders in the implementation of Public Offerings so that it can further encourage an increase in Issuers conducting Public Offerings, particularly initial share Public Offerings, and encourage increased investor participation. Given that the development of information technology has been able to provide access to the public for information and financial transactions, there is a need for an Electronic Public Offering System developed based on internet technology to broaden opportunities for the public to become investors in the initial market for Securities. This system is also designed to increase efficiency, effectiveness, transparency, and accountability in the overall implementation of Public Offering
activities. Based on the background above, in order to encourage public participation and efforts to increase efficiency, transparency, and accountability in Public Offerings, it is necessary to create regulations on the implementation of Public Offering activities for Equity Securities, Debt Securities, and/or Sukuk electronically, by issuing a Financial Services Authority Regulation on the Implementation of Electronic Public Offering Activities for Equity Securities, Debt Securities, and/or Sukuk. The Electronic Public Offering System is hereinafter referred to as Electronic Indonesia Public Offering (e-IPO).

II. ARTICLE BY ARTICLE

Article 1
Sufficiently clear.

Article 2
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Letter a
Sufficiently clear.
Letter b
Sufficiently clear.
Letter c
Sufficiently clear.
Letter d
Sufficiently clear.
Letter e
The obligation to follow and apply adequate control and security measures for the Electronic Public Offering System aims to ensure that the Electronic Public Offering System operates well, safely, and that data and information confidentiality is maintained in accordance with information technology system security standards in the Capital Market industry. Letter f Sufficiently clear. Letter g Sufficiently clear. Letter h Sufficiently clear. Letter i Sufficiently clear. Letter j Sufficiently clear. Letter k Disclaimer is also known by the term disclaimer. Letter l Sufficiently clear.

Article 3
Letter a
Sufficiently clear.
Letter b
What is meant by "regulatory provisions" includes among others:

1. electronic information and transactions;
2. user administration;
3. information announcements;
4. Initial Offering, Security offerings, and Security allocations; and
5. reporting and databases.
   Letter c
   Sufficiently clear.
   Letter d
   In practice, the aforementioned "usage guidelines" are also known as user manuals.
   Letter e
   In practice, the aforementioned "help center" is also known as a helpdesk.
   Letter f
   Examples of integration facilities include Application Programming Interface (API).
   Letter g
   Sufficiently clear.

Article 4
Sufficiently clear.

Article 5
Sufficiently clear.

Article 6
Letter a
What is meant by "provisions related to the use of the Electronic Public Offering System" includes among others technical instructions for using the Electronic Public Offering System. Letter b Sufficiently clear. Letter c Sufficiently clear.

Article 7
Paragraph (1)
Letter a
Sufficiently clear.
Letter b
The approval by the Financial Services Authority mentioned is determined by the Head of the Executive Supervisor of the Capital Market at the Financial Services Authority.
Paragraph (2)
Sufficiently clear.

Article 8
Paragraph (1)
In practice, the aforementioned "Securities issuance underwriter" is also known as lead underwriter.
Paragraph (2)
Sufficiently clear.

Article 9
Sufficiently clear.

Article 10
Paragraph (1)
What is meant by "obligation to use the Electronic Public Offering System" is to carry out all stages of the Public Offering in the Electronic Public Offering System, including conducting an Initial Offering via the Electronic Public Offering System if an Initial Offering is conducted. Paragraph (2) Sufficiently clear. Paragraph (3) Letter a Sufficiently clear. Letter b Public Offerings of Debt Securities and/or Sukuk also include continuous Public Offerings of Debt Securities and/or Sukuk and Public Offerings of Debt Securities and/or Sukuk to Professional Investors. Letter c Sufficiently clear.

Article 11
Sufficiently clear.

Article 12
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Letter a
In practice, the aforementioned "Initial Offering" is also known as bookbuilding.
Letter b
Sufficiently clear.
Letter c
Sufficiently clear.
Letter d
Settlement of orders for offered Securities covers activities for settling payments for Securities ordered by investors in the Public Offering and distributing Securities according to allocation results. Paragraph (3) Sufficiently clear. Paragraph (4) Sufficiently clear.

Article 13
Sufficiently clear.

Article 14
Sufficiently clear.

Article 15
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Data and information input is done according to the entries on the interface display of the Electronic Public Offering System.
Data and information that are mandatory to be entered into the Electronic Public Offering System are data and information related to the Public Offering to be stored, displayed, and/or processed by the Electronic Public Offering System in the course of implementing the Public Offering. Paragraph (3) Letter a Sufficiently clear. Letter b What is meant by "information openness" regarding Public Offerings is the information openness that must be announced by Small-scale Issuers and Medium-scale Issuers conducting Public Offerings as referred to in regulatory provisions in the capital market sector regarding Registration Statements in the context of Public Offerings and capital additions by granting pre-emptive rights by Small-scale Asset Issuers or Medium-scale Asset Issuers. What is meant by "Small-scale Issuer" is an Issuer with small-scale assets as referred to in regulatory provisions in the capital market sector regarding Registration Statements in the context of Public Offerings and capital additions by granting pre-emptive rights by Small-scale Asset Issuers or Medium-scale Asset Issuers. What is meant by "Medium-scale Issuer" is an Issuer with medium-scale assets as referred to in regulatory provisions in the capital market sector regarding Registration Statements in the context of Public Offerings and capital additions by granting pre-emptive rights by Small-scale Asset Issuers or Medium-scale Asset Issuers. Letter c Sufficiently clear. Letter d Sufficiently clear. Paragraph (4) Sufficiently clear.

Article 16
Sufficiently clear.

Article 17
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Sufficiently clear.
Paragraph (4)
Letter a
Sufficiently clear.
Letter b
Sufficiently clear.
Letter c
Sufficiently clear.
Letter d
Number 1
Sufficiently clear.
Number 2
Sufficiently clear.
Number 3
What is meant by "price" for Equity Securities is the price of Equity Securities.
What is meant by "price" for Debt Securities is the interest rate.
What is meant by "price" for Sukuk is the profit-sharing payment ratio, margin, or remuneration according to the characteristics of the Sharia contract of Sukuk.
Letter e
Sufficiently clear.
Letter f
Sufficiently clear.
Letter g
Sufficiently clear.
Letter h
Sufficiently clear.

Article 18
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Letter a
Sufficiently clear.
Letter b
Sufficiently clear.
Letter c
Sufficiently clear.
Letter d
Number 1
Sufficiently clear.
Number 2
Sufficiently clear.
Number 3
What is meant by "price" for Equity Securities is the price of Equity Securities.
What is meant by "price" for Debt Securities is the interest rate.
What is meant by "price" for Sukuk is the profit-sharing payment ratio, margin, or remuneration according to the characteristics of the Sharia contract of Sukuk.
Letter e
Sufficiently clear.
Letter f
Sufficiently clear.
Letter g
Sufficiently clear.
Letter h
Sufficiently clear.

Article 19
Letter a
Uploading of the Initial Prospectus and Short Prospectus or uploading of information openness regarding Public Offerings is carried out after the Issuer receives notification from the Financial Services Authority that the Issuer may announce the Short Prospectus or information openness regarding Public Offerings as referred to in regulatory provisions in the field of capital markets regulating registration procedures in the context of Public Offerings. An Initial Offering can begin immediately after data and information regarding the Public Offering and the Short Prospectus or information openness regarding the Public Offering are available to the public on the website of the Electronic Public Offering System. Letter b Inputting data and information regarding the Public Offering and uploading corrections and/or additions to the Short Prospectus and Prospectus is carried out after the Registration Statement in the context of the Public Offering becomes effective. Letter c Sufficiently clear. Letter d Settlement of orders for offered Securities covers activities for settling payments for Securities ordered by investors in the Public Offering and distributing said Securities according to allocation results. Letter e Sufficiently clear.

Article 20
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Letter a
The requirement to have a SID for investors is related to the Security allocation process which will be implemented based on the SID representing each investor.
Letter b
The requirement to have a Collateral Effects Sub-account is in connection with providing funds for orders submitted and distributing Securities.
Letter c
The requirement to have an RDN is related to the provision of funds by investors which will subsequently be transferred to the investor's SRE.
Paragraph (3)
Sufficiently clear.

Article 21
Sufficiently clear.

Article 22
Sufficiently clear.

Article 23
Paragraph (1)
Verification of interest and/or orders includes among others checking the correspondence of investor identity, SID, SRE, and RDN along with the number of Securities interested in or ordered, and other necessary actions. Paragraph (2) Sufficiently clear. Paragraph (3) Verification performed by Securities Companies includes among others taking further necessary actions related to verification. Paragraph (4) Sufficiently clear.

Article 24
Paragraph (1)
What is meant by "documenting the submission of investor interest and/or orders" is documenting in either paper-based form forms or information technology-based forms. For example, in the event that orders are made via voice call or video call, recordings of such calls are stored as documentation. Paragraph (2) Sufficiently clear.

Article 25
Sufficiently clear.

Article 26
Paragraph (1)
Submission of interest includes submission of interest for Fixed Allocation submitted via Securities Underwriters.
Paragraph (2)
Letter a
Security prices refer to the Security price fraction provisions established by the Stock Exchange.
Letter b
Sufficiently clear.
Letter c
Sufficiently clear.

Article 27
Paragraph (1)
Submission of changes and/or cancellation of interest by investors who submit interest directly via the Electronic Public Offering System can be done via System Participants.
Submission of changes and/or cancellation of interest by investors who submit interest via Securities Companies that are not System Participants can be done via Securities Companies other than System Participants to be forwarded to System Participants. System Participants confirm changes and/or cancellations of interest in the Electronic Public Offering System. What is meant by "investors can change and/or cancel interest" includes for investors who submit interest directly via the Electronic Public Offering System or investors who submit interest via Securities Companies. Paragraph (2) Sufficiently clear. Paragraph (3) Sufficiently clear.

Article 28
Sufficiently clear.

Article 29
Sufficiently clear.

Article 30
Sufficiently clear.

Article 31
Paragraph (1)
Submission of orders by investors done directly via the Electronic Public Offering System, then changes and/or cancellations of such orders are done via System Participants.
Submission of orders by investors done via Securities Companies that are not System Participants, then changes and/or cancellations of such orders are done via Securities Companies other than System Participants where the investor submits the order to be forwarded to System Participants. System Participants confirm changes and/or cancellations of orders in the Electronic Public Offering System. What is meant by "investors can change and/or cancel orders" includes for investors who submit orders directly via the Electronic Public Offering System or investors who submit orders via Securities Companies. Paragraph (2) Sufficiently clear. Paragraph (3) Sufficiently clear.

Article 32
Sufficiently clear.

Article 33
Sufficiently clear.

Article 34
Sufficiently clear.

Article 35
Paragraph (1)
In implementation, changes to the price range by the Issuer via the system are done by Admin Participants.
Paragraph (2)
What is meant by "having a remaining period of at least 3 (three) working days after the change" is in the event of a price range change, the remaining duration of the Initial Offering period is at least 3 (three) working days. Example:
PT A conducts an Initial Offering for 10 (ten) working days, on the 10th (tenth) day PT A confirms a price change, then the Initial Offering period is extended to a maximum of 3 (three) working days thereafter. Paragraph (3) Changes to the price range cannot be made on the 19th (nineteenth) working day after the announcement of the Short Prospectus and/or dissemination of information regarding the Public Offering. Paragraph (4) Sufficiently clear.

Article 36
Sufficiently clear.

Article 37
What is meant by "demand curve" is the accumulation of interest at each price within the Initial Offering price range.
Considerations for setting prices and the number of Securities offered are disclosed in the Prospectus in the chapter on Securities Underwriting.

Article 38
Sufficiently clear.

Article 39
Paragraph (1)
What is meant by "certain categories" includes among others age groups, geographical regions, or gender.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Sufficiently clear.
Paragraph (4)
Sufficiently clear.

Article 40
Paragraph (1)
Adjustment of the number of Securities allocated for Centralized Distribution when there is over-ordering in Centralized Distribution is done by adding the number of Securities allocated for that distribution. The addition of Security allocations will provide better opportunities for orderers in that distribution portion to obtain Securities compared to the original Security allocation. Paragraph (2) Sufficiently clear. Paragraph (3) Sufficiently clear. Paragraph (4) Information regarding Security allocation adjustments includes among others information on the number of Securities to be allocated for Centralized Distribution if over-ordering occurs for each level of adjustment, adjustment procedures, and the source of Securities to be used to meet Security allocation adjustments. Security allocation adjustment information is disclosed in the Prospectus in the section on Security ordering procedures.

Article 41
Sufficiently clear.

Article 42
Sufficiently clear.

Article 43
Merging several orders into 1 (one) order automatically is done by the Electronic Public Offering System.

Article 44
Paragraph (1)
Centralized Distribution consists of Retail Centralized Distribution and Non-retail Centralized Distribution. If there is excess Securities allocated for Retail Centralized Distribution, such Securities are first allocated to Non-retail Centralized Distribution so that such Securities are still allocated to investors in Centralized Distribution. Paragraph (2) If there is excess Securities allocated for Non-retail Centralized Distribution, such Securities are first allocated to Retail Centralized Distribution.

Article 45
Sufficiently clear.

Article 46
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Example:
Available Securities amount to 100,000 trading units and the number of investors placing orders is 125,000 Parties. Thus, the number of Securities is insufficient to allocate 1 (one) trading unit each to every investor first. In such conditions, Security allocation is done by allocating 100,000 trading units to the first 100,000 investors based on the order of order submission with 1 (one) trading unit each.

Article 47
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Example:
The condition where the number of Securities allocated to investors is less than the number of orders is when an investor receives an allocation of 5 (five) trading units while that investor has 7 (seven) orders submitted via 7 (seven) different System Participants. In such conditions, 5 (five) trading units of Securities are allocated to the first 5 (five) orders based on the order of submission and the other 2 (two) orders do not receive an allocation.

Article 48
Sufficiently clear.

Article 49
Paragraph (1)
The number of Securities available for Fixed Allocation will decrease, so allocations for investors in Fixed Allocation must also be adjusted.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Sufficiently clear.

Article 50
Paragraph (1)
Securities issuance underwriting agreements can take the form of full commitment or best effort. With full commitment, the Securities Underwriter is responsible for taking up unsold remaining Securities, whereas with best effort, the Securities Underwriter is not responsible for unsold remaining Securities but tries their best to sell the Issuer's Securities. Paragraph (2) The obligation to provide funds includes among others fulfilling underwriting according to the agreed proportion as stated in the Securities issuance underwriting agreement. For Securities Underwriters who are Clearing Members, fund provision is done by placing funds in a collateral account. For Securities Underwriters who are not Clearing Members, fund provision is done by placing funds in a Collateral Effects Sub-account or a collateral account at a Clearing Member that has an agreement with the aforementioned Securities Underwriter.

Article 51
Paragraph (1)
Temporary suspension of trading at the Stock Exchange is done automatically by the Stock Exchange trading system.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Financial Services Authority determinations include among others revocation of temporary trading suspensions or determination of temporary trading suspensions becoming permanent suspensions.

Article 52
Sufficiently clear.

Article 53
Sufficiently clear.

Article 54
Paragraph (1)
Sufficiently clear.
Paragraph (2)
What is meant by "other circumstances beyond the ability and power of the System Provider" includes among others disasters and other events having a significant impact on the implementation of electronic Public Offerings of Equity Securities, Debt Securities, and/or Sukuk.

Article 55
Sufficiently clear.

Article 56
What is meant by "specific actions" includes among others postponement or cancellation of Public Offerings.

Article 57
Sufficiently clear.

Article 58
Sufficiently clear.

Article 59
Sufficiently clear.

Article 60
Sufficiently clear.

SUPPLEMENT TO THE STATE GAZETTE OF THE REPUBLIC OF INDONESIA NUMBER 6531