Semen Gresik to acquire kraft paper producer

Semen Gresik to acquire kraft paper producer
Published: 18 June 2010

Indonesian state owned cement maker PT Semen Gresik will establish a joint venture with Japan’s Marubeni Corp to acquire kraft paper producer PT Kertas Kraft Aceh (KKA), according to reports by Asia Pulse. Semen Gresik, which needs KKA to guarantee supply of kraft paper for cement bags will holds the majority stake in the joint venture, Minister for State Enterprises Mustafa Abubakar said yesterday. KKA, which has an installed production capacity of 135,000 tons of kraft paper, will need a capital injection of US$60 million, the newspaper Investor Daily said.