DIGIVESTASI - The Indonesia Stock Exchange (IDX) has revealed that the shares of PT Sri Rejeki Isman Tbk (SRIL), or Sritex, meet the criteria for delisting. According to IDX Regulation I-N Article III.1, delisting can occur due to several factors, including conditions that significantly and negatively affect the company’s business continuity, whether financially or legally, with no adequate indication of recovery.

As per provision III.1.3.3, delisting can also take place if a company’s shares have been suspended in the regular market, cash market, or all markets for at least 24 months.

IDX Director of Corporate Valuation, I Gede Nyoman Yetna, explained that SRIL’s stock has been suspended since May 18, 2021, due to a delay in the payment of principal and interest on Sritex MTN Phase III 2018, Series 6. “With the suspension having lasted for 42 months, SRIL meets the criteria for delisting,” Nyoman stated on Friday (October 25, 2024).

Regarding SRIL's bankruptcy ruling, the IDX has requested that the company provide a public explanation regarding follow-up actions and the company’s plans, including efforts to maintain business continuity.

Investor Protection Measures
The IDX has also implemented various steps to protect retail investors, such as assigning a special notation and placing companies on the Special Monitoring Board if they meet certain criteria. This is regulated under IDX Regulation I-X concerning the Placement of Securities Listing on the Special Monitoring Board, which aims to provide early warnings for investors.

Suspended companies, whether due to sanctions or other reasons, will also receive delisting reminders if the suspension has lasted for six months. The IDX will request explanations about corrective actions and business plans, and companies are required to submit progress reports every June and December. The potential for delisting is announced every six months, including information on the duration of the suspension and the management structure.

Delisting Announcements
The IDX has issued delisting potential announcements regarding SRIL every six months, starting from November 2021 to June 2024. These announcements have been made through various official notices, including Peng-00050/BEI.PP3/11-2021 and Peng-00020/BEI.PP3/06-2024.

Based on the Financial Services Authority (OJK) Regulation 3/2021 and OJK Circular No. 13/SEOJK.04/2023, if a publicly listed company is delisted due to conditions threatening its business continuity, the company is required to change its status to a private company and conduct a buyback of public shares in accordance with applicable regulations.