PROJECT

Projects

Environmental & Social Review Summary

Project Number

47627

Company Name

PT GOTO GOJEK TOKOPEDIA TBK

Date ESRS Disclosed

Oct 3, 2023

Country

Indonesia

Region

East Asia and the Pacific

Last Updated Date

Oct 8, 2023

Environmental Category

B - Limited

Status

Active

Previous Events

Approved : Mar 31, 2023
Signed : Oct 2, 2023
Invested : Oct 6, 2023

Sector

Retail (Including Supermarkets, Grocery Stores, etc.)

Industry

Tourism, Retail and Property

Department

Regional Industry - MAS Asia & Pac

Project Description

 PT GoTo Gojek Tokopedia Tbk (“GoTo or the Company) is a tech-enabled digital platform offering e-commerce, mobility, and financial services, operating in three southeast Asian countries, including Indonesia, Singapore, and Vietnam. 

GoTo is a digital ecosystem, with the operations divided into three main categories: i) On-demand      Services, such as Gojek motorbike ride-hail services; ii) E-commerce through Tokopedia; iii) GoTo Financial, a Financial Technology Service. GoTo has 69 subsidiaries and 25 associate companies (both Indonesian and offshore) with ~2.6 million ride-hail drivers/partners and operates five fulfillment warehouses in Indonesia, eight Fast-Moving Consumer Goods (FMCG) distribution hubs, and 66 offices across Southeast Asia.

GoTo’s subsidiary, PT Swift Logistics Solutions, operates the warehouses and eight food distribution hubs with support from TitipAja (part of PT Adi Sarana Armada, an existing IFC client #42548 https://disclosures.ifc.org/project-detail/ESRS/42548/indonesia-express-logistics). GoTo joint ventures (JV) include Electrum, for developing 2-wheel electric vehicle manufacturing, and distribution, with battery charging infrastructure.

The proposed investment is up to US$125m in equity-linked notes (EN) convertible into PT GoTo Gojek Tokopedia Tbk shares. The use of proceeds is to support GoTo in its future growth plan.                                                  

Overview of IFC's Scope of Review

The appraisal included a desk review of the Company's relevant information, a discussion with the Company's senior management via video conferencing on January 9, 2023, and site visits to the Bekasi, Cawang, and Pulo Gadung fulfilment and FMCG distribution warehouses. Documents reviewed include (but are not limited to): the sustainability report (2021) and Human Resources (HR) policies and procedures, Environmental, Social, and Governance (ESG) framework, vendor code of conduct, and Occupational Health and Safety (OHS) procedures.

Virtual Meetings included: i) GOTO Head of Human Resources; ii) GOTO Head of Sustainability; iii) CEO PT Swift Logistics; iv) General Manager Swift Logistics; v) Head of Driver Engagement; vi) fulfilment warehouse workers and outsourced laborers; vii) CEO, Head of Purchasing, and Project Leader (Electrum); vii) Human Resources Managers, Facility Supervisors, and HSE Manager PT Swift  Logistics.                                                   

E & S Project Categorization and Applicable Standard

Environmental and Social Mitigation Measures

Stakeholder Engagement

Broad Community Support

Environmental & Social Action Plan