Sea to raise Rp8.9 trillion in SEA’s biggest fundraising

Sea Ltd., the company behind e-commerce giant Shopee, is looking to raise $6.3 billion or Rp8.9 trillion in Southeast Asia’s largest fundraising. In this second major fundraising round, Sea is aiming to tap growing investors in the region.

The Singapore-based company is looking to sell $11 million (Rp156 billion) American Depository Receipts and up to $1.65 million (Rp23.5 billion) more through a greenshoe option. It also plans to raise $2.5 billion (Rp35.6 trillion) in a convertible bond with a $375 million (Rp5.3 trillion) greenshoe attached. At Sea's closing stock price of $343.8 in New York on Wednesday (8 September), the share sale could raise up to $3.8 billion, according to Reuters..

According to Refinitiv data, the combined deal would be the largest ever capital raising for a Southeast Asian company. Sea plans to use the proceeds for general corporate purposes. The company is also planning to expand Shopee to Europe and India.

The pandemic drove demand for Shopee services, resulting in nearly a five-fold jump in its share price. This boosted Sea’s shares by 72.72% this year.