Passpod, an Indonesia-based portable travel assistance service for local tourists going abroad, announced that it has raised almost US$3.2 million from its IPO. It has officially been listed under the name “YELO” in Indonesian Stock Exchange (IDX).

The company claimed that the public response it has gathered so far is positive, with oversubscription of more than 10.27 times based on the report of public offer from October 18-22, 2018.

Passpod released 130,000,000 shares in total, the equivalent to 34.21 per cent from the initial capital, with IDR375 (US$0.025) price offered per share. During the opening, the share’s price reached IDR560 (US$0.037) or equal to a 48.94 per cent jump, and got auto-reject, as KataData reported.

PT Sinarmas Sekuritas has been appointed as lead underwriter and PT Jasa Utama Capital as well as PT Erdikha Elit Sekuritas as managing underwriter.

IPO fund that was raised will be used by the company to expand their business, back their app’s research and development to add new features, and for business capital.

“We believe there are many ways to get funding, and IPO is one of them, contrary to popular belief that you must wait until your company is big enough before pursuing IPO. It is one of the ways to expand to other countries relying on our company’s newfound reliability and transparency after going public,” said Hiro Whardana, CEO of Passpod.

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PT Yelooo Integra Datanet Tbk. (Passpod, Digital Tourist Pass) divides its service into three segments: travel service, AI and big data, and global connectivity for its modem rental business. Until April this year, the company claimed that it has been making IDR475 million (US$31,000) net profit.

Passpod was one of the startups under the incubator program by IDX and Indonesia’s Financial Service Authority (OJK), IDX Incubator.

Using big data, Passpod provides traveling recommendation based on the analysed data of their customers, from traveling preparation to tourist attraction tickets, real time itinerary builder, e-commerce, travel insurance, and many other things.

Passpod makes the 46th listed company in IDX this year.

“Passpod is now accessible in 70 countries but mainly still targets outbound travellers. But we are looking to target inbound travellers, those who want to visit Indonesia to support the country’s tourism,” said Wewy Suwanto, Operation and Financial Director of Passpod.

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Passpod plans to expand its operation to Malaysia, Singapore, Vietnam, Myanmar, and South Korea to attract inbound travelers to Indonesia.

Image Credit: Passpod