Lootah Global Capital and Heritage Amanah International to advise on the IPO and dual listing of Indonesian tech company on GCC stock market

  • Collaboration to bridge the growing investment interests between the UAE and Indonesia, which was cemented through the UAE’s $10 billion commitment for Indonesia’s SWF
  • Planned fund-raising activity in the Gulf equity markets signals a return of international business and investors’ confidence against the backdrop of the coronavirus pandemic
  • UAE provides an attractive environment with its well-established and dynamic global financial centres with strong Islamic finance infrastructure

Lootah Global Capital, a financial services company regulated by the Dubai Financial Services Authority, and Heritage Amanah International, an investment advisory company licensed by Indonesia Financial Regulatory Board, have signed a Memorandum of Understanding (MoU) to advise on the IPO and dual listing of an Indonesian tech company in the GCC stock market towards the end of 2021.

The MoU, signed by Lim Say Cheong, CEO of Lootah Global Capital and Salina Nordin, Founder & CEO of Heritage Amanah International, will explore opportunities between MENA and South East Asia and will bridge, in particular, the growing investment interests between the UAE and Indonesia, which were cemented through the UAE’s $10 billion commitment for Indonesia’s sovereign wealth fund (SWF).

The UAE has made significant strides to strengthen its ties with Indonesia, with the recent announcement of its intention to inject $10 billion into the Indonesian SWF at the directive of His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces. This will result in UAE becoming the largest anchor investor in the Indonesian SWF.

The planned fund-raising activity in the Gulf equity markets signals a return of international business and investors’ confidence against the backdrop of the novel coronavirus pandemic, which dampened the number of IPO issuances in 2020 to 7 with $1.8 billion in proceeds from 12 in 2019 with $29 billion, which included the $25.6 billion from Saudi Aramco IPO, the world’s largest stock market debut.

It also highlights the synergies between the UAE and Indonesia, which are countries with strong Shariah-compliant financial markets. Indonesia has the largest Muslim population in the world with approximately 225 million Muslims, and is projected to contribute 12 per cent out of 23 per cent of the Muslim population globally by 2022.  Both the UAE and Indonesia rank among the top 5 in the 2020/21 Global Islamic Economy Indicator.

Lim Say Cheong, said: “The UAE provides an attractive environment with its well established and dynamic global financial centres, ideal geographical location in the centre of the Asian and Western financial markets, robust legal system and judiciary that is familiar with the Shariah principles, vibrant Islamic banking industry, a wide array of Sharia-compliant financial instruments and funds as well as Sharia Index.

“The Lootah family name itself represents over six decades of pioneering economic and social activities in the UAE, including the founding of the region’s first Islamic Bank. With this kind of deeply-rooted expertise and dedication, we are pleased to partner with Heritage Amanah and continue Lootah’s legacy by creating value through innovation in Islamic finance and helping businesses pursue opportunities around the world with a particular focus on the GCC and MENA markets.”

Salina Nordin, added: “The recent announcement by UAE to invest $10bn into Indonesia’s SWF, INA, reinforces the efforts to build stronger economic ties between Middle East and South East Asia. Our collaborations will allow us to connect minds without boundaries by providing a platform of investment opportunities within the regions. Between Heritage Amanah’s deep understanding of the Indonesian business culture coupled with the Lootah Holding esteemed history, it will enable us to recognise and tap into promising global Shariah opportunities for strategic value creation.”

Iggi Haruman Achsien, Secretary General of Indonesia Islamic Economic Communities (MES), congratulated and welcomed Heritage Amanah International’s joint efforts with Lootah Global Capital to enhance the Shariah-compliant financial inclusion ties between South East Asia and MENA as a timely move as it will also complement MES with their upcoming plan to launch the MES- BUMN Syariah Equity Index during Ramadan 2021.

The MoU signing event was attended by Kartika Candra Negara, Consul General of the Republic of Indonesia in Dubai and Abdulla Alkaabi, Head of Politics, Economics and Media Affairs at the Embassy of the UAE to the Republic of Indonesia.

Lootah Global Capital is a fully owned subsidiary of Lootah Holding, a family-owned conglomerate, born out of the pioneer vision of its founder, Saleh Saeed Lootah with operations across key industries.

Heritage Amanah and its affiliates spearhead as a global independent wealth and investment advisory company that offers an open architecture of financial services ranging from start-up founders to high networth individuals, multi-family offices, institutions, corporates and state-owned organisations in Indonesia.­

About Lootah Global Capital Limited:

Lootah Global Capital Limited (LGC) is a DIFC entity regulated by the DFSA, providing Sharia-compliant financial advisory services to corporate and institutional clients.

LGC offers clients innovative financial solutions and structuring advice with a focus on the Islamic Capital Markets.

The team comprises highly experienced professionals with deep knowledge of the local and regional markets as well as deep connections with investors from around the world, allowing it to pursue opportunities worldwide with a particular focus on the GCC and MENA markets.

Lootah Global Capital is a fully owned subsidiary of Lootah Holding, a family-owned conglomerate, born out of the pioneer vision of its founder, Saleh Saeed Lootah with operations across key industries from Real Estate, Construction, Islamic Finance, Logistics, Technology, Academic Training and Healthcare to Interior Design, with a view of becoming a driving force for the national and regional economic growth.

About Lootah Holding

Lootah Holding is a family-owned conglomerate, deeply rooted in UAE’s culture and heritage with an aspiration to be a center of entrepreneurship.

Born out of the pioneer vision of its founder, Saleh Saeed Lootah, the group ventures into a diversified industry sectors, creating innovative business opportunities. Through its commitment to growth, and a team of ambitious young leaders and innovative minds.

Lootah holding fosters its entrepreneurial culture across key industries from Real estate, Construction, Islamic finance, Logistics, Technology, Academic Training and Healthcare to Interior design.