IndoVest Capital, Inc. is a blockchain driven, institutional-grade, private equity fund manager. IndoVest has strategic relationships that provide the Company with the expertise, access and ability to create a unique opportunity to invest in Indonesia’s oil & gas, mining & refining, renewable energy and infrastructure sectors. By using a security token offering, IndoVest is democratizing access to institutional quality private equity investments.
The IndoVest Security Token
is designed to facilitate the payment of cumulative quarterly dividends equal to 65% of the Company’s net income after taxes directly to the IndoVest Token Holder in fiat currency. The IndoVest Security Token Offering (“STO”) will be launched on the TokenSoft Security Token Issuance Platform.
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The Company’s fundamental investment objective is to make strategic investments in Indonesia with the possibility for strong returns on investment. IndoVest intends to focus its strategic investments in Oil & Gas, Mining and Refining, Renewable Energy and the Infrastructure industries. IndoVest will also consider investments in other special projects which align with its fundamental investment objectives. The Company expects to source such investments by utilizing its exclusive buy-side investment banking relationship with Masindo Artha Sekuritas PT (“Masindo”), an Indonesian investment bank that is a full member of the Jakarta Stock Exchange (JKSE ; Now “IDX”).Read more about Masindo >
Security Tokens must comply with jurisdictional securities and banking financial regulations. These 2nd generation tokens provide an array of different financial rights to an investor such as equity, dividends, profit share rights, voting rights, buy-back rights, etc.
The blockchain and the Company's corporate governance place an emphasis on security and transparency through decentralized and immutable fund ledgers, certified quarterly / annual financial results and a 3-year lockup period for Founders and Insiders owning IndoVest Tokens (can sell only 8.33% of Founder Tokens per quarter).
Investors gain direct exposure to institutional quality oil & gas, mining & refining, renewable energy and infrastructure investments, including the opportunity to invest alongside some of the World's most important and innovative companies in some of the most favorable projects available in Indonesia.
The IndoVest Token will provide enhanced liquidity and transparency to investors. The CoinBase and TokenSoft comprehensive custody and security plan will provide industry leading security for STO Investors.
Founder/insider tokens have a 3-year lockup period, which is permanently embedded in the blockchain ledger. Only 8.33% can be sold each quarter.
200 million IndoVest Tokens will be issued during the entire life of the private equity fund.
Smart Contract based Fund Protocols will give the IndoVest Token Holder the right to receive cumulative quarterly dividends equal to 65% of the Company’s Net Income After Taxes.
Consider this: if cryptoassets are “programmable money” then Security Tokens are “programmable rights to cash flow distributions” (dividends) and/or “programmable ownership.”
The Security Token ecosystem combines traditional securities and banking regulatory frameworks for securities with the core efficiencies of blockchains.
Security tokens often represent a right to an underlying asset such as a pool of real estate, cash flow, or holdings in another fund. These rights are written into a smart contract and the tokens are traded on a regulated blockchain-powered exchange.
The IndoVest Token will give the Token Holder the right to receive cumulative quarterly dividends equal to 65% of the Company’s Net Income After Taxes.
In addition to permitting 24/7 trading, with near instant settlement, security tokens permit fractional ownership, which allows investment assets to be easily divided into smaller parts, enabling several unrelated parties to share in the ownership of a high-value tangible asset, e.g. Fine Art: create index fund of minority ownership in numerous Monet pieces.
Security tokens are creating global pools of liquidity for retail and accredited investors across jurisdictions, allowing for global participation in investment assets. An individual in Indonesia, for example, can now have exposure to a diversified portfolio of Manhattan commercial real estate, high tech early stage ventures, and blue chip stocks.
Various lucrative industries will be transformed by lowering the barrier to entry and reducing capital requirements. Issuers are now able to access a wider pool of capital, gaining greater opportunities for portfolio diversification and the potential for new types of ownership.
Security tokens and blockchain can also open traditionally illiquid markets such as hedge funds, private equity funds, infrastructure and project bonds and venture funds to affluent investors, while offering regulators compliance and transparency at the same time. In the coming years, the impact of digital securities will be seen across all private capital markets. This shift is poised to fundamentally alter the future of asset and wealth management for the better.
All stakeholders will benefit from capital markets built across (and on) distributed ledger technology. The benefit of different stakeholders compared to the status quo is as follows:
THIS OFFERING IS LIMITED SOLELY TO ACCREDITED INVESTORS (AS DEFINED IN REGULATION D UNDER THE SECURITIES ACT). ONLY PERSONS OF ADEQUATE FINANCIAL MEANS WHO HAVE NO NEED FOR LIQUIDITY WITH RESPECT TO THIS INVESTMENT SHOULD CONSIDER INVESTING IN THE UNITS OFFERED HEREBY PURSUANT TO A SUBSCRIPTION AGREEMENT AND TIC BECAUSE: (I) AN INVESTMENT IN THE CLASS A COMMON SHARES, AND UNDERLYING INDO TOKENS INVOLVES A NUMBER OF SIGNIFICANT RISKS (SEE “RISK FACTORS”); AND (II) NO MARKET FOR ANY OF THE CLASS A COMMON SHARES, OR INDO TOKENS EXISTS, AND A MARKET FOR EACH OF THE SERIES A COMMON SHARES, AND UNDERLYING INDOVEST SECURITY TOKENS MAY NEVER DEVELOP.
Masindo Artha Sekuritas PT is the exclusive buy-side investment banking advisor to IndoVest in Indonesia. Masindo is a full service brokerage firm and investment bank with four securities licenses and is a member of the IDX. Counterparty Institutional relationships exist with Deutsche Bank, HSBC , DBS Bank , Barings Bank, SHK & Co. , Banque Paribas and many others.
Masindo provides clients with discretionary investment management services. Its philosophy is to achieve long term capital growth by identifying and selecting fundamentally sound and undervalued companies along with companies that have significant potential for growth.Read more >
CVMR is IndoVest’s mining and refining advisor. CVMR has some of the most sophisticated metal powder refining technologies in the world with over 100 patents. CVMR is a privately held mining and refining company that refines some 36 different metals, using proprietary, state of the art technologies.
It is a world leader in metal powder production used in 3D printing, Metal Injection Moulding (MIM), super alloys, complex net shapes, electronics, rechargeable batteries, manufacture of aerospace and automotive parts, medical instruments and pharmaceuticals.
In producing these products, CVMR® uses its proprietary technologies and refining processes based on vapour metallurgy. Its name and trademark, CVMR®, is an acronym derived from its principal refining process, “chemical vapour metal refining.”
Interactive Exploration Solutions Inc. (“INEXS”) is the Company’s oil & gas advisor. INEXS has advised the 5 largest oil companies in the world and 3 of the world’s largest PEFs that invest in oil & gas. INEXS was co-founded by Craig Davis in 1990 to provide premium geoscience and engineering consulting services to the worldwide oil and gas industry. He is actively involved with the management of many of the company’s projects and is responsible for most of the large projects for major oil companies and capital providers that include field evaluations, packaging and selling producing assets, and major acquisitions.
Craig began his career in 1980 when he graduated from Indiana University with a BS in Geology and began working the mid-continent of the U.S. for Texaco in Tulsa. His career path includes projects in the North Sea, Africa, and the Middle East with Monsanto Oil Company, Tri-D, and Landmark Graphics.
TokenSoft is IndoVest’s security token issuance platform & ecosystem developer. TokenSoft Leads the Market in Providing a Technology Solution to Support Regulatory Compliant Securities Offerings for Blockchain-Based Issuances of Security Tokens and Tokenized Securities Alike.
TokenSoft also provides a structure designed to support future issuances and partnerships. TokenSoft clients are leading digital asset issuers, including Andra Capital, Hedera Hashgraph and the Tezos Foundation. To date, clients have raised more than $400 million through the platform. The platform’s white-label, end-to-end infrastructure includes: Issuer branded onboarding platform that enables global participation, including tailored compliance flows for 50+ jurisdictions for KYC/AML and investor accreditation Post-issuance compliance support for distributions, dividends and trading through open- architecture token issuance and design Digital asset custody solutions and partnerships.
* Note: "Know Your Customer" and "Anti Money Laundering" (commonly known as KYC / AML)
Dentons is the world's first polycentric global law firm. A top 10 firm on the Acritas 2018 Global Elite Brand Index, the Firm is committed to challenging the status quo in delivering consistent and uncompromising quality and value in new and innovative ways. Driven to provide clients a competitive edge, and connected to the communities where its clients want to do business, Dentons knows that understanding local cultures is crucial to successfully completing a deal, resolving a dispute or solving a business challenge. Now the world's largest law firm, Dentons' global team builds agile, tailored solutions to meet the local, national and global needs of private and public clients of any size in 175 locations serving 78 countries. Dentons Singapore Office has represented over 30 security token issuers.
Co-Chairman of the Board of Directors, COO, Member of Investment Committee, CEO of Biometrics DivisionRead more
Director, Chief Compliance Officer, Member of the Investment Committee & FounderRead more
Any questions? Reach out to us and we’ll get back to you shortly.
CEO, Director, Member of Investment Committee & Founder
Michael was the co-Founder and CEO of Ether Capital (ETHC:NEO), the first Ethereum focused publicly traded company, having successfully led a $45 million private placement raise. He was also COO of Alternative Investment Management at Alliance Bernstein ($500 billion in AUM). Michael has been involved in the blockchain and crypto space since 2016, having founded several companies and advising a number of others. In addition to his fintech background, Michael brings a wealth of experience in financial services having served in various senior executive positions at AllianceBernstein, The TCW Group, Inc. (Managing Director, Head of Corporate Strategy and Development) and Société Générale (Managing Director, Corporate Strategy and Development) with responsibilities for portfolio management, strategy, M&A, operations, sales, and marketing on a global basis, including Asia, North America and Europe. Michael’s diverse industry experience includes time at the Los Angeles Times/Tribune Company, McMaster-Carr Supply Company, and the US Embassy in Paris. Michael, who is fluent in French and conversant in several other languages, holds a Master’s degree in International Finance and Economics from Brandeis University, including studies at ESSEC in Paris, France and an MBA with honors from the University of Southern California’s Marshall School of Business.
Chairman of the Board, Member of Investment Committee and Founder
Mr. McLoughlin was formerly a Director Adjoint (Deputy Director) at Banque Paribas for 23 offshore Trusts and Mutual Funds; he worked for 10 years as an Institutional Fund Manager at the Abu Dhabi Investment Authority (Sovereign Wealth Fund); Senior Analyst at JP Morgan; Laurence Prust & Co.; SHK & Co. (50% owned by Merrill Lynch); Fund Manager Japan & Asia Pacific Abu Dhabi Investment Corp. (100% owned subsidiary of ADIA) and Citicorp. From 2003 through 2012 Mr. McLoughlin has exceptional experience with over 80 transactions (see Transaction List) in the following industries: Coal; Oil & Gas; Gold & Precious Metals; Base Metals; Diversified Trading; Financial & Property and Technology. Mr. McLoughlin’s references are generally world renowned financial figures in finance, investment banking, asset management and M&A.
Director, Chief Compliance Officer, Member of the Investment Committee, & Founder
Mr. Beggs served with distinction in the Military Service of the UK for 11 years (Captain – retired). Mr. Beggs worked at Swiss Bank London as Associate Director and Savory Milln London as Associate Director; Swiss Bank International (Singapore) as Director and Country Manager Australia, Singapore; Heron Group – Founder and Managing Director; Kroll Associates, Hong Kong - Singapore and South East Asia Representative; Kroll Associates, Singapore – Director and Country Manager; Kroll Associates, Australia - Director and Country Manager; TRW Group, Malaysia and Thailand - Director Logistics, Operations and Business Development and Aquantum Asia, Singapore and Australia - Founder and Principal Advisor.
Director, General Counsel, Secretary, Member of the Investment Committee & Founder
Mr. Wood is the founding partner in the law firm of Wood & Associates, LLP. For over 30 years Mr. Wood has practiced in the areas of personal injury and criminal law with a particular emphasis on international issues. He has participated in large product liability lawsuits as well as major felony trials across the country, as well as represented foreign countries before United States courts. Mr. Wood’s clients have ranged from The Country of Libya to International high-profile clients, to people severely injured or killed by defective products. His advice and counsel is are sought by people and institutions from all parts of the world. Randell Wood has brought significant product liability actions on behalf of injured consumers against foreign corporations, negotiated international prisoner exchanges between countries, and been called upon to represent foreign nations before United States courts and tribunals. His cases are often controversial, and have included litigation involving international financial frauds, federal criminal conspiracy trials, and compliance with anti-terrorism financial regulations and United Nation resolutions. He has been asked by nations to assist in cross-border, multi-jurisdictional asset recovery, and repatriating of the proceeds of corruption, including use of the United Nations Convention against Corruption (UNCAC). Early in his practice he worked as a prosecutor for the City of Springfield and served at judicial appointment as the special prosecutor for the 39th Judicial Circuit. Mr. Wood received his Bachelor of Science from Southwest Missouri State University in 1975. He attended Graduate School at Southwest Missouri State University from 1975 to 1976 studying Counseling Psychology. Mr. Wood then went on to receive his Juris Doctorate from the University of Missouri at Kansas City in 1979.
Founder and President Commissioner of Masindo Artha Sekuritas PT
Mrs. Soeharsono has been the President Commissioner of Masindo Artha Sekuritas PT and an investment banker for the past 25 years. Industry expertise includes oil & gas, mining, infrastructure development, finance and acquisition, financial services and additional industries. Mrs. Soeharsono has a Bachelor of Science in Banking and Finance from San Francisco State University.
Director & Member of Investment Committee
Mr. Davis co-founded Interactive Exploration Solutions Inc., (INEXS) in 1990 to provide premium quality geoscience and reservoir engineering consulting services to the worldwide oil and gas industry. He is actively involved with the management of many of the company’s largest projects, including restructuring, expert testimony and reports, bankruptcy litigation support, asset valuations, sell side mandates, field evaluations, and major acquisitions. He leads a team of twenty-five petroleum engineers, geologists, geophysicists, and accountants. His skills include strategic planning, leadership, presentation, business development, project management, and communication. Since the commodity price drop in 2014, Craig has led a diverse team rendering technical studies and reports that include several or all the following: Mergers & Acquisitions, Asset Valuations, Basin Studies, Expert Reports, Expert Witness Testimony, Litigation Support, and extended technical depositions for cases involving Magnum Hunter, Sabine, Energy XXI, New Gulf Resources, Saratoga, Stone, Ultra, and Sandridge. On behalf of banks, private equity, and private capital the team has performed due diligence evaluations for dozens of assets, and provided independent analyses of company operating costs and G&A. Craig led technical teams on various field development and exploration projects for clients in Venezuela, Turkey, the UK, Indonesia, Belize, Eritrea, Norway, Grenada, India, The Netherlands, Nigeria, Mexico, and numerous locations throughout the United States, including the Gulf of Mexico, leading to several major oil discoveries. Craig has led teams working more than one hundred buy-side mandates for PDP, field development, and pure acreage play acquisitions for both conventional and unconventional basins and plays in the United States and internationally.
Co-Chairman of the Board of Directors, COO, Member of Investment Committee, CEO of Biometrics Division
Mr. Ballard is a recognized global sales, marketing and operations leader with over 35 years of business to consumer, business to business and business to government leadership at Panasonic and PepsiCo. Mr. Ballard served Panasonic Enterprise Solutions Company, Panasonic North America (PESCO) for 14 years in various roles, attaining the position of Executive Vice President of Sales and Marketing. As one of the founding architects in the formation of PESCO, Mr. Ballard was responsible for PESCO’s Direct Sales, Marketing and Operations teams with collaborative oversight of the Solutions and Delivery teams. The North American markets for which he was responsible included Professional and Collegiate Sports, Entertainment, Digital Out of Home, Place Based Networks, Smart Cities, Connectivity (Wi-Fi), Eco and Education verticals. Prior to his tenure at PESCO, Mr. Ballard enjoyed a long and diverse 23-year career at PepsiCo, where he held several domestic and international executive positions in sales, marketing and operations, including Director of International Sales where he led international global sales and marketing organization development plans and execution for Europe, Asia, South and Central America, Middle East, Russia and Africa for PepsiCo beverage products.
Security Token and IndoVest Capital Ltd. - Ecosystem & Platform Introduction
IndoVest Capital Inc. (“IndoVest” or the “Company”) is a newly formed private equity company whose mandate is direct investment in Indonesia in the following industries: oil & gas, mining & refining, infrastructure and renewable energy. The primary purpose of IndoVest is to maximize cash flow via project finance investments in collaboration with the Indonesian government whenever possible (for example, the Indonesian Government Owned Oil & Gas Major).
The primary reason IndoVest is using a security token to raise $2 to $4 billion in permanent equity capital is to provide a liquid exit strategy for investors within one year, when the IndoVest Token will be registered on various exchanges around the world. The Company’s investments will have high ROI/IRR hurdle rates and relatively low risk characteristics for the purpose of generating substantial cumulative quarterly dividends equal to 65% of Net Income to be paid future IndoVest Security Token Holders.
The problems with passive investing in Indonesia which IndoVest and its security token solve:
The fundamental benefits to investors of IndoVest using a Security Token to raise permanent private equity capital for investment are:
The other disruptive aspect of the Security Token is that the Company will be making high quality investments with low risk profiles and exceptionally high IRRs, often in partnership with the Indonesian government, just like large, top tier, professionally managed institutional quality private equity funds would (such as Apollo Global Management, Blackstone Group, Carlyle Group, KKR, etc.), which usually only very wealthy people and institutional investors that can afford to invest at least $5 to $25 million can participate in.
With IndoVest Capital’s Security Token, individual investors can participate directly in the Company’s interest income, dividend income and realized capital gains simply by purchasing the Security Token for $100.00 each in the STO. The Security Token therefore, represents the democratization of Private Equity Fund investments. In addition to creating real, fundamental cash value for the Security Token, in order to properly protect the token holders, the Company will operate with transparency; proper corporate governance; certified annual financial statements; quarterly financial statements; a lockup period for founders and insiders who own the Security Token properly coded into the platform and a fixed limit of 200 million Security Tokens issuance forever with no ability to alter that limitation. There will be Smart Contract based Fund Protocols which provides security (fraud protection) and transparency for investors via decentralized and immutable fund ledgers.
The purpose of IndoVest Capital Ltd.’s STO is to raise permanent equity capital for a private equity fund that has created a unique opportunity to invest in Indonesia in collaboration with Masindo Artha Sekuritas and the Indonesian government in the oil & gas, mining and refining, infrastructure and renewable energy sectors. INEXS is the Company’s oil & gas advisory firm – INEXS is located in Houston, Texas and advises five of the largest oil & gas companies in the world and three of the largest private equity funds that invest in oil & gas. CVMR is the Company’s mining and refining advisory firm and is located in Toronto, Canada. CVMR provides technology and builds refineries for three of the largest mining companies in the world, the US Department of Defense, Boeing, GM and 3M, etc. CVMR has the most technologically advanced metal powder refineries in the world located in the US, Germany, China and Africa. The security token is simply an efficient way to issue a security in multiple jurisdictions (countries) with the most important elements permanently embedded in the blockchain ledger. The primary advantage of the security token is future liquidity - so instead of being locked up in a private equity fund for a minimum 10 year period, we expect that the security tokens will achieve substantial liquidity within 6 months to one year subsequent to the closing of the STO.
These primary security token characteristics are:
 Non-scalable fund administration results in high minimum investment requirements that exclude most accredited investors.
CVMR®'s processes do not melt the metals as is done in the usual smelting processes. CVMR®'s plants are pollution-free and completely neutral to the environment. They create no air, water or soil pollution of any kind. CVMR®'s plants are hermetically sealed and all gases used in its various processes of vapourizing the metals are recycled.
All CVMR®'s refining/manufacturing plants are built on a modular basis, enabling a substantial degree of flexibility, allowing a plant to be built and to grow in size gradually, in different phases. Each phase is self-sufficient and pays off its own capital cost in a short period and continues to operate as a module within the larger, fully integrated operation.
The production of metal powders inevitably attracts highly-valued sophisticated industries with high-paying industrial jobs as secondary industries that CVMR®'s products can feed into just-in-time delivery, enhancing any host country’s economy far beyond the value-added to the mined and recycled metals or CO2. CVMR®'s products have had a very strong, dependable export market for high value metal powders and complex net shapes in the past 35 years.
Client List (including but not limited to):
US DOE, Canadian Department of Defense, NASA, General Motors, Sama Resources Inc., Vale- INCO, Galvanoform, Brush Wellman, Falconbridge (Glencore/Xstrata), US Bureau of Engraving.Go to CVMR Website >
Masindo was established in 1993, in order to service institutional clients, both local and international, and high net worth individuals. It is one of the few independent securities brokerage and investment banking firms in Indonesia and, consequently, provides completely objective advice. As a full member of IDX, Masindo has and still retains the following licenses: Security Trading, Corporate Finance, Asset Management, Corporate & Economic Research and Bond Issuance. Masindo offers a full range of services including Stock Broking, Underwriting, Initial Public Offerings, Investment Banking and Investment Management Advisory Services, Capital Raising in the Debt and Equity Capital Markets. Counterparty Institutional relationships exist with Deutsche Bank, HSBC, DBS Bank, Barings Bank, SHK & Co., Banque Paribas and many others.
Masindo Artha Sekuritas PT is the Exclusive Buy-Side Investment Banking Advisor to IndoVest Capital Inc. in Indonesia. Effy Soeharsono is the President Commissioner of Masindo Sekuritas PT for the past 25 years
Masindo is a well-respected full service, fully licensed, investment bank and institutional brokerage firm located in Jakarta, Indonesia. Masindo is a full member of the Jakarta Stock Exchange (JKSE ; Now “IDX”). As a full member of IDX, Masindo has and still retains the following licenses: Security Trading, Corporate Finance, Asset Management, Corporate & Economic Research and Bond Issuance. Counterparty Institutional relationships exist with Deutsche Bank, HSBC , DBS Bank , Barings Bank, SHK & Co. , Banque Paribas and many others.
Masindo provides clients with discretionary investment management services. Its philosophy is to achieve long term capital growth by identifying and selecting fundamentally sound and undervalued companies along with companies that have significant potential for growth.Go to Masindo Website >
Natural gas resources have a crucial role in the transition [toward cleaner energy]. Indonesia has more gas reserves than oil and the former is also much cleaner,” said the president director of energy firm PT Q Energy South East Asia David Braithwaite, who is also the report’s researcher. Above and beyond the economics of the oil and gas sector when compared to renewables is the fact that Indonesia has committed to going 23% renewable by 2025 as part of the Paris Climate Agreement.
Indonesian leaders have committed to going 23% renewable by 2025 per Paris Climate Agreement. With Indonesian regional governments providing fiscal and non-fiscal incentives to encourage the development of renewable energy, this is a great time for wealthy individuals to take climate action into their own hands.
Indonesia has the natural resources to become a global leader in saving the environment. Whether it’s Wind, Solar, Tidal or Geothermal—Indonesia has abundant sources of renewable energy potential.
The benefit of existing along the Ring of Fire is the abundance of geothermal energy waiting to be harnessed. Indonesia has 29 GW of potential geothermal energy across 285 locations. That’s 40% of the world’s total geothermal energy stores. Indonesia is currently harnessing only 4-5% of Geothermal potential.
Indonesia has a total 75,670 MW potential of electricity generated from hydro or tidal sources, 60MW of this is tidal. As an archipelago, Indonesia is rich in coastlines, which provide the perfect wind and ocean currents for harnessing tidal power. Only 5% of potential is currently in use.
Indonesia has 9.3 GW of on shore Wind potential. 85% In Java, Bali, Sulawesi and Nusa Tenggara.
50 million Indonesians (20% of the population) remain without electricity. One reason for this is the price of getting coal and diesel energy to the many outlying islands is so expensive. 3,000 kW per hour to get to the poorest and most remote communities. For perspective, that’s roughly double the price of electricity in Australia. That’s why localised, renewable energy sources must be set up to provide for Indonesian’s on the sidelines. These 50 million people need electricity. Providing immediate clean energy will not only ensure that their precious ecosystems are sustained for generations to come. It will deliver a sustainable Indonesia. It is clear that based on the abundance of renewable energy resources and the massive opportunity for buildout in this space that IndoVest will be well positioned to capitalize and be a leader in helping Indonesia achieve its renewable energy production and sustainability goals.
Such spending would build on President Joko Widodo’s strategy of using infrastructure as a key plank to boost economic growth and spread wealth beyond the main island-powerhouse of Java, where the capital is located. The proposed investments exceeds Indonesia’s previous $350 billion infrastructure drive—then the larges in the nation’s history—set during Jokowi’s first term. The new spending plan is equivalent to about 5.7% of gross domestic product from 2020 to 2024, during which the government has targeted economic growth of 5.4% to 6%, according to the draft of the proposal.
According to the draft plan, about 17% of the infrastructure spending will go toward energy. In the last year, the Indonesian government has announced 13 economic policy packages (“deregulation packages”) focusing on the deregulation of investment and tax incentives.
Building critical ports and facilities is particularly complicated and costly in Indonesia because the country is dispersed across 17,000 islands through an area spanning the distance between New York and London. “The only way for Indonesia to have higher economic growth is connectivity,” Brodjonegoro said in Jakarta. “We are planning to establish the equivalent of a highway for the skies by building airstrips or smaller airports for connectivity” in remote areas such as the Papua region, he said. The proposal is a “positive breath of fresh air” for Indonesian state-owned construction companies, said Evan Hadiwidjaja, head of research at PT Sinarmas Sekuritas.
This ambitious plan could benefit their longer term pipeline although their balance sheets could be strained, he said. Shares of state-owned builders reversed earlier gains to close lower Thursday, as a selloff in Indonesian and other Asian stocks deepened on concern that the trade war between the U.S. and China will escalate. Despite the potential benefits, massive projects have been challenging for the government to finance in recent years, partly due to low tax compliance in Indonesia and weak commodity prices that have strained the state budget.
Several projects have been shelved or delayed, even as bodies including the World Bank have warned of a massive infrastructure gap limiting economic growth. Indonesia has been expanding at about 5% a year. While the government is aiming for growth of 5.3% to 5.6% next year, that’s still short of the 7% Jokowi had targeted before his first term began. The president, popularly known as Jokowi, is expected to be confirmed for a second term when official results of the April 17 election are announced next week.
The ministry is preparing final documents on the investment plan to present to the president for approval, a ministry spokesman said. The proposed investments exceed the $350 billion infrastructure drive -- then the largest in the nation’s history -- set during Jokowi’s first term. The new spending plan is equivalent to about 5.7% of gross domestic product from 2020 to 2024, during which the government has targeted economic growth of 5.4% to 6%, according to the draft of the proposal. The government is open to the possibility of financing some projects through debt, Brodjonegoro said. According to the draft plan, about 17% of the infrastructure spending will go toward energy, followed by 10% for irrigation.
The Indonesian government has in recent years put in place a robust institutional framework to support its infrastructure plans. In the last year it has announced 13 economic policy packages (“deregulation packages”) focusing on the deregulation of investment and tax incentives. The government expects these deregulation packages to improve Indonesia’s competitiveness and help to attract investment by cutting bureaucracy and providing greater legal and business certainty. A key target announced by the President is to raise Indonesia’s position in the World Bank’s Ease of Doing Business index to 40 by 2019. Indonesia has moved to position 109 in 2016, out of 189 economies, but it is still behind directly competing Association of Southeast Asian Nations (ASEAN) countries such as Singapore, Malaysia and Thailand.
The government expects that the impact of the deregulation program will be more significant in the coming years since it plans to speed up implementation of deregulation packages at the working level. All of this deregulation, along with the commitment to infrastructure spend points towards the opportunity for IndoVest to be a significant contributor to the build out of infrastructure in Indonesia given our strong positioning for public private partnerships and other select investments.
Over the past decade, Indonesia has been a consistent performer in an otherwise weak and volatile global economy. GDP Growth has averaged 5.3% a year from 2000 to 2018 and the economy has proven remarkably resilient, withstanding numerous shocks including the global financial crisis of 2008–09, the end of the China-fueled commodity boom around late 2011, and acute market pressures during the ‘taper tantrum’ of May 2013.
Cutting dependence on imported crude will promote growth, maintain fiscal stability, and support national security. We estimate that maintaining 2016 production levels could unlock up to $120 billion in added GDP over the next decade—equivalent to an additional 1.4% of GDP growth a year. If current trends persist by 2026, the gap will reach 2.3 million barrels of oil equivalent per day. Indonesia will need to import 2.5 times its production, putting significant pressure on the country’s currency and energy security. If current trends persist by 2026, the gap will reach 2.3 million barrels of oil equivalent per day. Indonesia will need to import 2.5 times its production, putting significant pressure on the country’s currency and energy security. However, Indonesia has a choice to generate substantial revenues for itself.
CVMR® Indonesian Laterite Ore Processing Refinery: this $473 million CVMR® refinery that produces nickel and iron carbonyl powders will be paid for by Indonesia Investments from the STO proceeds and has a projected annual pre-tax ROI of 65.6%. The most important thing about metal powders is that they generally sell for 6 to over 10 times the price of the underlying metal, therefore significantly mitigating commodity pricing risks. Indonesia Investments will be working closely with the Indonesian Ministry of Energy and Mineral Resources on all mining and refining investments.
Masindo was established in 1993, in order to service institutional clients, both local and international, and high net worth individuals. It is one of the few independent securities brokerage and investment banking firms in Indonesia and, consequently, provides completely objective advice. As a full member of IDX, Masindo has and still retains the following licenses: Security Trading, Corporate Finance, Asset Management, Corporate & Economic Research and Bond Issuance.
Masindo offers a full range of services including Stock Broking, Underwriting, Initial Public Offerings, Investment Banking and Investment Management Advisory Services, Capital Raising in the Debt and Equity Capital Markets. Counterparty Institutional relationships exist with Deutsche Bank, HSBC, DBS Bank, Barings Bank, SHK & Co., Banque Paribas and many others. Effy Soeharsono is the President Commissioner of Masindo Sekuritas PT and is the Exclusive Buy-Side Investment Banking Advisor to IndoVest Capital Inc. in Indonesia.Go to Masindo Website >
The INEXS technical teams of reservoir engineers, pipeline and refinery engineers, geologists, petrophysicists, and geophysicists have worked hundreds of the major petroleum basins and projects worldwide. INEXS teams have generated independent asset valuations for companies in virtually every basin in North America and 40 countries around the world. INEXS provides technical valuation and operational insight, clarity, and accuracy for oil companies, banks, capital providers, investment funds, law firms, and creditors.
INEXS has provided the technical heavy lifting for more than a dozen sell-side mandates with assets in the Permian, Utica/Marcellus, Haynesville/Cotton Valley, GOM, and Eagle Ford for Chevron, BP, Marathon, and several others. INEXS has worked the buy-side on over 100 asset acquisitions over the past 20 years.
INEXS has extensive experience providing detailed analysis of producing fields to identify additional proved reserves, new drilling opportunities, and operational efficiencies. INEXS teams have worked dozens of fully integrated reservoir studies to model production, enhance reserves, model water flood and CO2 flood projects, and options for production optimization.
Investment in Indonesia’s oil and gas industry is attractive for multiple reasons:
Indonesia Oil & Gas Investment Opportunities:
The country of Indonesia has been producing oil and gas for more than 100 years, however production has declined in recent years while domestic demand has increased, forcing Indonesia to now import significant amounts of oil to meet that demand. The government passed new legislation in 2018 with more attractive terms for investment capital to flow into the oil and gas industry.
TokenSoft engineers also developed the ERC-1404 standard, an open standard that allows issuers to control investor limits, manage investor whitelists, and implement compliance requirements globally. ERC-1404 also can be used to implement with other standards like Polymath’s ST-20 or Harbor’s R-Token.
Comprehensive Regulatory Compliance Support: Offering and issuing a digital asset can involve a variety of regulations. At TokenSoft, their clients typically require a range of services that encompass banking, securities and tax laws globally.
Additionally, as regulators around the world seek to adapt to global trends, laws and regulations remain fluid. TokenSoft has served its clients in this environment through the Swiss Financial Market Supervisory Authority (FINMA) guidance to the Bank Secrecy Act and FinCEN anti-money laundering and beneficial ownership requirements.
Auditing & Reporting: TokenSoft has been uniquely positioned to meet the auditing standards of the big four auditing firms. The level of tracking and transparency our platform provides enables our clients to meet the most complex tax and reporting requirements.
Cold-Storage Administration of Smart Contract: Online exposure to the ownership or administration functions of a smart contract can put your operations at risk. With a potential $100 million- $1 trillion+ in market cap trading, it’s important to take the safest route. Managing your contract through online wallets, carries high risk of malware or hacking exposure. Using the Knox Wallet, the first custody solution of digital securities, you can administer your funds securely, with no risk of malware exposure.
Institutional Support: TokenSoft clients may seek to onboard institutional investors or qualified purchasers. These investors carry unique needs that TokenSoft has been able to provide. Whether it is particular experience or institutional grade custodial requirements, TokenSoft provides the tools necessary to meet these needs.
Due Diligence and Investor Documents: Due to country specific regulations we are required to gather your information to determine your eligibility as an investor. Please provide us with accurate information about yourself and/or your institution. We will carefully review your information and send you the documents upon approval.
Full Service Law Firm Capabilities - Dentons today is radically different compared to the Dentons that existed several years ago. We have been listening to what our clients really want and are investing in transformative technologies to increase collaboration and consistency, and improve client service.
Top Tier Technical Expertise – We value technical expertise above all else. We are however mindful that we must offer our clients practical, logical and creative solutions which serve their commercial and strategic purposes, which are also compliant with laws at the same time. Our practices are consistently ranked highly by Chambers and The Legal 500.
Top 10 Acritas 2018 Global Elite Brand – Dentons is the world's first polycentric global law firm. A top 10 firm on the Acritas 2018 Global Elite Brand Index, the Firm is committed to challenging the status quo in delivering consistent and uncompromising quality and value in new and inventive ways. Driven to provide clients a competitive edge, and connected to the communities where its clients want to do business, Dentons knows that understanding local cultures is crucial to successfully completing a deal, resolving a dispute or solving a business challenge.
Highly Ranked for Client Service – Leading global clients rank Dentons number three in client service, according to a survey released by BTI Consulting Group. The rankings of the 319 law firms recognized in the BTI Client Service A-Team 2018 are the result of 350 in-depth interviews with legal decision makers at the world's leading organizations. The analysis is based on 17 objective factors, which corporate counsel consider the most important and influential in a law firm relationship. We are gratified by the trust that clients have placed in us and this ranking serves to spur us to provide even better service to our clients.Go to Dentons Website >