The pharmaceutical company, PT Kalbe Farma Tbk (IDX: KLBF) prepared capital expenditures around Rp1.1 trillion (US$78.01 million) in 2021 - Photo by the Company

JAKARTA (TheInsiderStories) – The pharmaceutical company, PT Kalbe Farma Tbk (IDX: KLBF) prepared capital expenditures around Rp1.1 trillion (US$78.01 million) in 2021, said the finance director last week. The drug-maker also set the sales target to grow around eight percent in the same year. 

According to Bernadus Karmin Winata, the investment funds lower than last year’ realization worth of Rp1.5 trillion. The same amount, he continued will also prepared for 2022 and 2023.

Recently, Kalbe has an announced need an investment up to Rp1 trillion to produces 50 million doses of COVID-19 vaccines. The issuer collaborated with Genexine Inc., a biologic drug producer from South Korea, has form PT Kalbe Genexine Biologic (KGBio) to develope and making raw materials for biotechnology drugs in Indonesia.

Beside, the company also set up a consortium with other South Korea institutions like Binex, International Vaccine Institute, Genbio, the Korea Advanced Institute of Science & Technology, and Pohang University of Science & Technology. The vaccine candidate being developed was named GX-19.

President director of Kalbe, Vidjongtius, revealed KGBio will conduct phase 2 clinical trials for the vaccine in the fourth quarter of this year after being declared successful in the phase 1 clinical trial in South Korea. He emphasized that the vaccine production will be ready to circulate commercially as early as mid-2021.

“Phase 1 is expected to be completed in September to November 2020. Next, phase 2 will be held which of course will also be carried out in Indonesia,” he stated.

Until first half of this year, said Vidjongtius, the company had realized Rp600 billion to complete two factories in Cikarang, West Java, used for over-the-counter drugs. During the six-month, the manufacturer reported a net sales grow 3.8 percent compared to 2019 to Rp11.60 trillion. While, the net profit increased by 10.3 percent to Rp1.38 trillion as of June 30, 2020.

The issuer also had divested all of its shares in a subsidiary in the Philippines, namely Asiawide Kalbe Philippines Inc., to ARC Holding Inc Corporation. The two parties, has signed a sale and purchase agreement, made transactions totaling 714,229 shares or 49.99 percent of the shares owned by the company through Kalbe International Pte. Ltd., with a transaction price of Php7,142.32 ($148.61).

Vidjongtius revealed that the company’ objective of divesting its subsidiary is as an effort to consolidate operations in the country. The establishment of Kalbe subsidiaries in several countries aims to focus more on developing business in those countries while adjusting to local regulations.

Apart from AKPI, the producer also has a network of subsidiaries in several countries in Asia such as Kalbe International Pte. Ltd in Singapore, Kalbe Malaysia Sdn. Bhd. in Malaysia, Kalbe Myanmar Company Ltd. in Myanmar, to Kalbe Lanka Pvt. Ltd in Srilanka.

US$1: Rp14,100, PHP48,06

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