Fore Coffee, a prominent Indonesian coffee chain, has disclosed its intention to launch an Initial Public Offering (IPO) on the Indonesia Stock Exchange (IDX) to facilitate its expansion strategy and fortify its presence in the premium coffee market.

Operating under the symbol “FORE,” Fore Coffee will release 1,880,000,000 shares, equivalent to 21.08 percent of its total issued capital. The pricing range for the offering is anticipated to be between Rp160 and Rp202 per share, with a fundraising goal of up to Rp379.8 billion (US$23 million). The book-building phase occurred from March 19 to March 21, 2025, followed by the public offering from March 26 to April 9, 2025.

Vico Lomar, the CEO of Fore Coffee, expressed optimism about the prospects in the Indonesian premium coffee sector, citing the IPO as a means to leverage these opportunities. The company intends to allocate 76 percent of the IPO proceeds towards expanding its outlet network nationwide, with plans to open approximately 140 new coffee outlets over the next two years. Furthermore, 18 percent of the funds will be directed to establishing new donut outlets through its subsidiary, while 6 percent will be earmarked for operational purposes.

Having established a strong presence over seven years, Fore Coffee has emerged as a key player in Indonesia’s coffee culture, boasting 217 outlets across 43 cities in Indonesia and Singapore as of September 2024. Notably, the company launched 61 new outlets in 2024 alone.

Financially, Fore Coffee has witnessed substantial growth, with net sales soaring by Rp418 billion (135 percent YoY) to Rp727 billion by September 2024, compared to Rp309 billion in the same period the previous year. Gross profit also experienced a significant upsurge, rising by Rp252 billion (128 percent YoY) to Rp447 billion in September 2024. Moreover, the company’s Earnings before interest, taxes, depreciation, and amortization (EBITDA) surged by 187 percent YoY to Rp 135 billion in September 2024.

In the context of the broader premium coffee market, a Redseer Analysis report projected a robust CAGR of 11 percent for the Indonesian coffee market over the next five years, with a potential market size of US$12.6 billion (Rp206 trillion). Fore Coffee recognizes that coffee consumption transcends mere beverage intake, encompassing a lifestyle element. Through its flagship, medium, and satellite outlet models, Fore Coffee caters to diverse customer preferences, offering socializing spaces and convenient grab-and-go services for the on-the-go clientele.

The company’s competitive edge is underpinned by operational efficiency, innovative product offerings at affordable prices, diligent outlet performance monitoring, and a commitment to sustainable business practices that contribute to Indonesia’s economy and society. Leveraging digital platforms such as mobile applications enhances operational efficacy, financial management, and customer engagement, enabling swift responses to market demands.

Fore Coffee’s collaboration with leading investor East Ventures bolsters its competitive standing and opens avenues for strategic partnerships within East Ventures’ extensive network, fostering potential synergies in the future.