Last Updated:
Marina Budiman, Indonesia’s richest woman, lost over Rs 31,100 crore as DCI Indonesia’s stock collapsed. Despite this, some remain optimistic about DCI’s future.
Marina Budiman held the title of Indonesia’s richest woman.
In the unpredictable world of high finance, fortunes can vanish as swiftly as they are made. Marina Budiman, who recently held the title of Indonesia’s richest woman, saw her staggering wealth evaporate in a matter of days. A dramatic collapse in the stock price of DCI Indonesia, the data centre company she co-founded, wiped out $3.6 billion (over Rs 31,100 crore) from her net worth in just three days.
Until recently, Budiman’s fortune was growing at an astonishing pace. According to a Hindustan Times report, the DCI Indonesia co-founder and president commissioner was earning approximately $350 million (over Rs 3,000 crore) daily for three consecutive weeks, propelled by a powerful stock rally. Her soaring wealth, combined with the stakes held by fellow co-founders Otto Toto Sugiri and Han Arming Hanafia, pushed their collective fortune to a staggering $17 billion. But the euphoria was short-lived.
On Tuesday, DCI Indonesia’s stock price plunged more than 50% from its recent peak, nearly halving Budiman’s fortune overnight. The sudden crash highlights the volatile nature of Indonesia’s stock market, where many companies are thinly traded, making them vulnerable to sharp swings.
Indonesia’s stock market has long been a breeding ground for wild swings. The rise and fall of DCI Indonesia’s stock mirrors the broader pattern of “boom and bust” cycles that have gripped the country’s financial markets for years. The company’s market value remains around $17 billion even after the sharp decline, a figure that seems disproportionately high given its financials.
DCI Indonesia reported a revenue of just $112 million and a profit of $49 million last year. Despite this, the company’s stock was trading at a valuation 416 times higher than its earnings. “This kind of volatility stems from DCI’s low free-float value,” explained Mohit Mirpuri, a fund manager familiar with the Indonesian market. “When major players buy or sell large blocks of shares, it can trigger massive price swings,” he added.
The stock market turmoil isn’t confined to DCI Indonesia alone. Indonesia’s benchmark stock index also suffered a significant drop, triggering a 30-minute trading suspension. Analysts pointed to multiple factors behind the downturn, including growing uncertainty over President Prabowo Subianto’s populist policies and forced liquidations linked to government financial strategies. “There’s a lot of nervousness about the government’s approach to fiscal management,” said one trader, adding that investors were trying to figure out if it was just a correction or the start of a broader downturn.
Despite the steep losses, some market watchers remain optimistic about DCI Indonesia’s future. The global demand for data centres is surging as companies race to expand cloud infrastructure. Rumours that Oracle Corporation is considering setting up a cloud service center in Indonesia have bolstered hopes that DCI could recover. “Data centres are a strategic asset in the digital economy,” said an analyst, adding that if DCI could navigate the current volatility, it still had enormous growth potential.
What’s Next for Marina Budiman?
Budiman’s rapid rise and equally swift fall underscore the precarious nature of stock market wealth. While the immediate outlook for DCI Indonesia remains uncertain, the long-term prospects of the data centre industry could provide a path to recovery. Whether Budiman’s fortune rebounds or fades further will depend on how the company and the broader market respond to the current turbulence.
- Location :
Jakarta, Indonesia
