Indonesian auto parts manufacturer Garuda Metalindo plans to launch an initial public offering (IPO) this year to raise IDR258bn (US$19.4m) to pay off debt, buy new manufacturing equipment and use as working capital.

The shares will start trading on the Jakarta Stock Exchange on 7 July priced at IDR550, at the bottom of an earlier indicative range of IDR550-800 - reflecting the recent stock market decline and the slowdown in the country’s economic growth in the last year.

The company makes fasteners which it supplies to most major vehicle manufacturers in Indonesia.