Semen Baturaja to sell 35% shares in June | Insider company data
(The Insider Stories) — State-owned cement producer PT Semen Baturaja plans to list 35% or around 2 billion shares through an IPO in June, a company executive says. The company expect to earn over IDR1 trillion ($100 million) from the IPO.
“We need funds to increase our capacity production from 1.25 million [metric] tons to 3.5 million tons in 2016,” Chief Executive Semen Baturaja Pamudji Raharjo said.
The company will offer the shares to investors in Singapore, Kuala Lumpur and Hong Kong in May. PT Mandiri Sekuritas, PT Bahana Securities and PT Danareksa Sekuritas are joint lead underwriters.
Semen Baturaja has started building its second cement plant in South Sumatra province with capacity of 1.5 million tons a year and plans it to come onstream in 2015, while a cement mill with capacity 750,000 ton a year will start output this month. The projects require investment of around IDR3.20 trillion which aside from the IPO earnings will come from internal cash.
In the future, Semen Baturaja wants to build new cement plant in South Sumatra and Jambi provinces and is seeking opportunities to expand into east Indonesia.
It expects revenue of IDR1.5 trillion and net profit IDR350 billion this year with revenue targeted to rise by 2015 to more than IDR3 trillion.
