In the latest development that stole investors’ attention, FTSE Russell hinted that $BREN shares (Barito Renewables Energy) still have a chance to re-enter the FTSE index. This is good news for shareholders and observers of the renewable energy industry in Indonesia.

Comments from FTSE Russell

Wanming Du, Policy Director at FTSE Russell, explained that Barito Renewables Energy has the potential to return to the index, provided it meets certain criteria. According to Du, the main evaluation criteria include:

• Transparency in financial statements.
• Investable, which indicates that the stock can be actively bought and sold in the market.
• It can be replicated, ensuring that the index can be formed based on the composition of those stocks.
• The size of the company is large enough to guarantee liquidity.
• Free float minimum sebesar 5%.

This criterion is certainly an important factor to consider, especially considering BREN’s expenditure from the FTSE Global Equity Series – Large Cap index in September 2024. This happens due to the low free float, where 97% of the total issued shares are owned by only 4 shareholders.

A Bright Future?

Along with the shift in the trend towards renewable energy, Barito Renewables’ presence in the FTSE index will provide a positive boost for both the company and its investors. Can BREN meet the requirements needed to regain its bargaining position in the FTSE index? This is a big question that will be interesting to listen to in the future.

So, if you’re one of the many stock enthusiasts and market participants paying attention to BREN, stay tuned for these developments! The good news is that it is time for all of us to pay more attention to the performance and transparency of companies operating in the green energy sector.