PT Fore Kopi Indonesia Tbk (Fore Coffee), a premium affordable coffee chain, has announced plans for an Initial Public Offering (IPO) on the Indonesia Stock Exchange (IDX). The company will list under the ticker symbol "FORE" and aims to raise up to IDR 379.8 billion by offering 1.88 billion shares, representing 21.08% of its total issued and fully paid capital. Shares are priced between IDR 160 and IDR 202 per share.

The book-building period took place from March 19 to March 21, 2025, followed by the public offering period from March 26 to April 9, 2025. Fore Coffee is scheduled to be listed on the IDX on April 11, 2025.

Utilization of IPO Proceeds

Fore Coffee plans to allocate 76% of the IPO proceeds to expand its coffee shop network across Indonesia. This expansion includes opening approximately 140 new outlets over the next two years to strengthen its leadership position in the premium coffee market. The company aims to provide high-quality service, innovative menu offerings, and a modern coffee experience tailored to consumer preferences.

In addition to outlet expansion, 18% of the IPO funds will be used to establish new donut outlets under its subsidiary, while the remaining 6% will be allocated for working capital.

Fore Coffee’s Business Growth and Market Presence

Since its founding, Fore Coffee has established itself as a key player in Indonesia’s coffee industry. By September 2024, the company had expanded to 217 outlets across 43 cities in Indonesia and Singapore, with 61 new outlets opened in 2024. This marked the highest year-on-year (YoY) outlet growth.

The company has demonstrated strong financial growth, with net sales increasing by IDR 418 billion (135% YoY) to IDR 727 billion in September 2024, compared to IDR 309 billion in September 2023. Between 2021 and 2023, net sales grew at an average annual rate of 112%, rising from IDR 107 billion in 2021 to IDR 482 billion in 2023.

Gross profit also showed substantial improvement, increasing by IDR 252 billion (128% YoY) to IDR 447 billion in September 2024, up from IDR 195 billion in September 2023. EBITDA surged 187% YoY to IDR 135 billion in September 2024.

Market Potential and Competitive Strategy

According to Redseer Analysis in December 2024, Indonesia’s coffee market is projected to grow at a compound annual growth rate (CAGR) of 11% over the next five years, with an estimated market size of USD 12.6 billion (IDR 206 trillion).

Fore Coffee recognizes that coffee is not just a beverage but an essential part of a modern lifestyle. The company operates three types of outlets—flagship, medium, and satellite—catering to different customer needs, from social gatherings to grab-and-go services for busy individuals.

Its competitive edge lies in operational excellence, premium yet affordable product offerings, and disciplined outlet performance monitoring. The company also emphasizes sustainable business practices that contribute to Indonesia’s economic and social development. A strong digital presence through its mobile app further enhances operational efficiency, financial management, and customer engagement.

Leadership and Investor Support

Fore Coffee’s leadership team consists of industry professionals with deep expertise in food and beverages, ensuring effective execution of its business strategy. CEO Vico Lomar emphasized the company’s commitment to delivering high-quality coffee experiences, stating, “We invest in product quality, innovation, efficiency, and most importantly, empowering our team and baristas with training, development, and growth opportunities to sustain our operations.”

Investor backing from East Ventures further strengthens Fore Coffee’s competitive position. This partnership provides financial support and access to East Ventures’ extensive network, enabling strategic collaborations.

Willson Cuaca, President Commissioner of Fore Coffee and Co-Founder of East Ventures, highlighted the IPO’s significance, stating, “Fore Coffee’s IPO marks a historic moment that reflects the strength of its sustainable business model. We believe this IPO will accelerate its expansion, reach more coffee enthusiasts across Indonesia, and solidify its position as a leader in coffee innovation.”

Mandiri Sekuritas and Henan Putihrai Sekuritas are acting as joint lead underwriters, facilitating the IPO process for investors.

PHOTO: FORE

This article was created with AI assistance.