IDX and KSEI Establish High Concentrated Share Ownership, Joint Decree Number Kep-00047/BEI/03-2026 and KEP-0024/DIR/KSEI/0426

Introduction

On 2 April 2026, PT Bursa Efek Indonesia (“IDX”) and PT Kustodian Sentral Efek Indonesia (“KSEI”) issued the Joint Decree of the Board of Directors of PT Bursa Efek Indonesia and PT Kustodian Sentral Efek Indonesia Number Kep-00047/BEI/03-2026 and KEP-0024/DIR/KSEI/0426 on the Determination of High Concentrated Share Ownership in Listed Companies, which took effect on that date. This Decree aims to establish a new supervisory mechanism to determine the status of issuers whose shares are concentrated in the hands of a limited number of parties, thereby enhancing the integrity of price formation mechanisms and capital market transparency.

IDX and KSEI issued this regulation to address economic challenges related to market inefficiency. When a small number of shareholders control an excessively large ownership portion, the number of shares available to the public (Free Float) automatically becomes very limited. From an economic and market analysis perspective, this limited supply reduces stock liquidity in the secondary market and increases the risk of abnormal price spikes or declines (fluctuations). Therefore, IDX and KSEI have established this regulation to announce the status of share concentration in order to mitigate price distortions that may harm the public.

 

Key Provisions

Review of Share Ownership

According to Point 1 of this Decree, IDX and KSEI are responsible for reviewing share ownership in Listed Companies. This review is conducted to detect the number of shareholders with highly concentrated ownership in Listed Companies. The implementation of this review fully refers to the mechanism that has been mutually agreed upon in writing by IDX and KSEI for the purpose of supervising issuers.

Determination and Announcement of High Concentration Status

Points 2 and 3 of this Decree stipulate that IDX and KSEI are authorized to determine the list of shares categorized as having highly concentrated ownership for a certain period. Such determination is based on the results of the review previously conducted. As a transparency instrument, IDX sets out the list of shares with high concentration status in an official announcement published on the IDX website.

Follow-Up Actions and Status Updates

After IDX determines that a share falls under the high concentration status, Point 4 outlines the subsequent actions to be taken. IDX and KSEI will evaluate the latest condition of such shares and publish the results under the following provisions:

1. The Exchange will issue a subsequent announcement (revocation of status) no later than 5 (five) Exchange Days after the completion of the re-evaluation, if the shares of the Listed Company are no longer in a condition of highly concentrated ownership based on periodic review results and/or written confirmation from the issuer; or
2. The Exchange will not issue any new announcement if the shares of the Listed Company remain in a condition of highly concentrated share ownership.

List of Highly Concentrated Shares

Source: PT Bursa Efek Indonesia

 

Closing

The Joint Decree of IDX and KSEI Number Kep-00047/BEI/03-2026 and KEP-0024/DIR/KSEI/0426 establishes and announces issuers with highly concentrated share ownership. This regulation aims to maintain the integrity of price formation and market transparency by mitigating abnormal price fluctuations arising from limited publicly available shares (free float) and low liquidity. Through this mechanism, IDX and KSEI periodically review and publish the list of such issuers on the official IDX website, including the 9 companies currently listed, while also ensuring that any revocation of status is announced no later than 5 Exchange Days once the issuer’s shares are no longer in a condition of high concentration.