Divestment plan of Semen Gresik unit approved

Divestment plan of Semen Gresik unit approved
Published: 14 April 2008

The Ministry of SOE approved the plan of PT Semen Gresik Tbk to restructure its three units through divestment program so that it will focus on the core business.
 
The Deputy of SOE Ministry on Mining, Strategic Industry, and Telecommunication Roes Aryawidjaja said that the divestment will be the corporate action aimed at maximizing the business performance.
 
"This is a corporate action so there is no problem. If it is beneficial for the company, it will be beneficial for the country," he said last week.
 
He said he has not got any report on this and will ask for report if it will deal with the technical aspect.
 
The President Director of Semen Gresik Dwi Soetjipto said the company has six units including those with the business of other than cement related one. It has two units in cement - PT Semen Tonasa and PT Semen Padang.
 
The company has planned to sell two units of non cement related industry. Another company will be sold of it has met the criteria to sell.
 
"Two or three companies will be sold. They can do this directly on two units, and another one will be sold if it has met the criteria," he said last week.
 
The six units of Semen Gresik are PT United TractorsSemen Gresik, PT Swadaya Graha, PT Varia Usaha, PT Kawasan Industri Semen Gresik, PT Industri Kemasan Semen Gresik, and PT Eternit Gresik.
 
Dwi decline to reveal which units Semen Gresik will sell. He just said he will focus on the unit on distribution.
 
 
He said the company is still seeking the financing to develop new factory, to increase production capacity, and to develop power plant with the total investment of US$1.1 billion.