Ubiquiti Inc.'s stock soared 12.61% in pre-market trading on Wednesday, as investors reacted to the news of a key partner's departure from the Nusantara Capital Authority (OIKN), potentially impacting the company's involvement in Indonesia's new capital city project.
The surge comes after Mohammed Ali Berawi, who served as the Deputy for Green and Digital Transformation at OIKN, resigned from his position. Berawi, a civil servant lecturer at the University of Indonesia (UI), was recalled by the university to resume his tertiary education duties.
Ubiquiti had previously secured a contract to provide IT infrastructure and networking solutions for the new capital city, in partnership with OIKN. Berawi's departure raises concerns about the potential impact on the collaboration, as he likely played a crucial role in facilitating the partnership between Ubiquiti and OIKN.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.