OJK Re-regulates Regulation concerning Increase of Capital without Rights Issue to Protect Minority Shareholders [Brought to you by AYMP]
BY Benny Handoko, Bryan Sonny Wisaksono |
The Indonesia Financial Services Authority (Otoritas Jasa Keuangan – “OJK”) enacted OJK Regulation No. 14/POJK.04/2019 (“POJK 14/2019”) concerning Amendment to OJK Regulation No. 32/POJK.04/2015 concerning Capital Increase of Public Companies with Pre-Emptive Rights. Interestingly, POJK 14/2019 regulates the provisions regarding public company’s increase of capital without rights issue (“Non-Rights Issue”) that previously governed under OJK Regulation No. 38/POJK.04/2014 concerning Capital Increase of Public Companies without Pre-Emptive Rights and also revokes such regulation. As a result, rules on increase of capital, whether with rights issue or Non-Rights Issue, are now regulated under POJK 14/2019.