PT Garuda Indonesia (PERSERO) Tbk Stock (GIAA) Fair Value Valuation Post Restructuring and Relisting on IDX

The financial difficulties experienced by PT. Garuda Indonesia, characterized its inability to meet obligations several creditors, resulted in the temporary delisting of shares from Indonesia Stock Exchange (IDX) on June 18, 2021. This situation was further exacerbated impact Covid-19 pandemic, which led a decline revenue due decrease passenger numbers and air traffic. initiated restructuring effort through Postponement Debt Payment Obligations (PKPU) route with number creditors. an extension payment terms, conversion debt equity, modification structure. company also implemented improvements operational practices aimed at reducing costs. These efforts have produced positive outcomes, including increase equity company’s liabilities.Top FormBottom Form increased capital Additional Capital Pre-emptive Rights (PMHMETD), without (PMTHMETD) investment government Republic State Investment (PNM). After completing process, (GIAA) were free suspension able return initial price Rp.204. study conducted determine fair value GIAA upon their IDX early January 2023. utilized two methods: Discounted Cash Flow (DCF) method Relative Valuation method. DCF Rp. 165.3 for shares, implying that issuance overvalued 18.97%. EV/sales ratio, yielded 929 suggesting current undervalued 355%.