Retail in Asia

Pos Indonesia mulls IPO of logistics unit in 2019, eyes more e-commerce customers

State postal firm Pos Indonesia is mulling to spin off its logistics arm, Pos Logistik Indonesia, for an initial public offering in 2019, banking on the rapid growth of online shopping in Indonesia, according to top executives at the company.

The state company is aiming to reach IDR11 trillion (USD796 million) revenue within the next two years, with one-third, or up to IDR4 trillion, coming from its logistics arm, Indyruwani Asikin Natanegara, director of technology and financial service at Pos Indonesia, said.

With a network of 4,367 offices and more than 28,000 agents, Pos Indonesia has established ties with numerous popular e-commerce companies, such as MatahariMall and Zalora Indonesia, in providing pick-up and delivery services in an effort to offset the diminishing revenue of its mail business.