PT Panorama Sentrawisata Tbk (PANR) plans to conduct a rights issue, offering up to 1.2 billion new shares, and issuing up to 400 million warrants as an incentive for shareholders exercising their rights.

The proceeds from this rights issue will be used for the company’s business development—either directly or indirectly through its subsidiaries—and/or to reduce part of its debt and/or for working capital.

“This rights issue is aligned with our strategic plan to strengthen and accelerate the digitalization of our business. Since the onset of the Covid-19 pandemic, the adoption of digital services and platforms has become increasingly critical, as people had limited access to offline shopping—boosting online businesses, including Panorama. Over the past few years, we have built technological and digital infrastructure to strengthen our operations, and we are now ready to enter the tech- and digital-based business channels,” said Angreta Chandra, PANR’s Finance Director.

“We want to be part of this digital lifestyle transformation, expanding our market reach, adapting to post-pandemic changes, and building strong competitiveness as the tourism industry moves toward recovery,” she added.

To carry out this corporate action, PANR will seek shareholder approval through an Extraordinary General Meeting of Shareholders (EGMS) scheduled for August 27, 2021. The rights issue will be executed within 12 months of the EGMS approval date.

Throughout 2020, the company implemented strategic steps to survive the impact of the Covid-19 pandemic. These included applying health protocols across all business lines, innovating tour products and services, strengthening its digital platforms to improve customer access, reducing operational costs across subsidiaries, and maintaining strong customer communication.

PANR remains optimistic that the widespread vaccination programs in Indonesia and other countries will significantly reduce Covid-19 cases and serve as a game changer in the recovery of the tourism industry—both domestically and globally. Nearly all of PANR’s employees have received vaccinations through the government’s tourism sector program.

Recovery signs have already emerged in countries like the United States and China, where domestic travel has surged in recent months—reflecting people’s strong desire to travel again after a long period of restrictions.

Over the past year, PANR has refined its operations and infrastructure, so when the pandemic is under control and the economy rebounds, the company will be in a solid and ready position to seize opportunities and meet the surge in travel demand that has been building up over time.

The company also hopes that Bali can reopen soon and that other countries will begin easing travel restrictions, allowing PANR’s travel & leisure and inbound tourism business pillars to serve the growing demand for outbound trips and inbound tourism in Indonesia.