22 October 2019 (closed)
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State-controlled cement producer Semen Indonesia is eager to expand its business outside of Indonesia. After acquiring a - USD $157 million worth - 70 percent stake in Vietnam's Thang Long Cement last year, it is now eyeing to take over a cement factory in Myanmar. Semen Indonesia has set aside USD $200 million for the acquisition, which it plans to conduct next year. Which Myanmar-based cement company will become target of the acquisition is still under evaluation.
Currently, Semen Indonesia has a production capacity of approximately 25 million tons of cement per year. After purchasing the Myanmar factory, its capacity should be elevated to 26 million tons per year.
Semen Indonesia is also focused on expanding its domestic production capacity. By 2016, it aims to open new factories in Rembang (Cental Java) and Padang (the Indarung VI plant in West Sumatra). Together, these two plants cost USD $716 million in investments.
Semen Indonesia, previously known as Semen Gresik, is Indonesia's largest cement producer. The company, which forms the holding company for Semen Gresik, Semen Padang and Semen Tonasa, has cement plants on the islands of Java, Sumatra and Sulawesi. The Indonesian government owns a 51 percent stake in the company.