According to The Jakarta Post, cement manufacturer PT Semen Indonesia is planning to expand its operations into Bangladesh, following success in Vietnam and plans to invest in Myanmar later this year. The expansion forms part of the company’s plan to create new markets and strengthen its market position.
Agung Wiharto, PT Semen Indonesia’s Corporate Secretary, told local press that the company is most likely to acquire grinding mills in Bangladesh in the next few years. Semen Indonesia is also set to invest in a cement company or establish a joint-venture company in Myanmar in 2014. Wiharto stated that the company began negotiations with three potential partners in Myanmar last year, but had not yet reached an agreement.
A budget of around US$300 million, from both cash reserves and bank loans, has reportedly been allocated for the overseas expansion. Wiharto said the company are confident in expanding to overseas markets due to the success of its acquisitions in Vietnam. Semen Indonesia acquired a 70% share of Vietnamese Thang Long Cement Joint Stock Company (TLCC) in November 2012 for $157 million.
Edited from various sources by Rosalie Starling
Read the article online at: https://www.worldcement.com/asia-pacific-rim/13012014/pt_semen_indonesia_plans_to_expand_to_bangladesh_582/