Gresik sets aside US$300m for regional expansion

Gresik sets aside US$300m for regional expansion

Indonesia’s largest cement maker, PT Semen Gresik, has US$300m to expand its business to the regional markets of Myanmar, Cambodia and Vietnam, the company’s chief executive Dwi Soetjipto has said.

Speaking to the Jakarta Globe, he said: “Expansion overseas is still in the process.” Previously, Dwi indicated that the company was looking at acquiring stakes in cement producers in Malaysia, Myanmar, Vietnam and Thailand as it seeks to extend its regional reach.

He also told the Investor Daily last wee that the company is still seeking partners as well as making valuations of investment opportunities and acquisitions in Southeast Asian nations. “Hopefully, the decision will come out in November,” he said.

To raise its international profile the company is set to change its name to Semen Indonesia, subject to shareholders approval which is expected in October or November this year.

Gresik is continuing with expansion on the domestic front with new plants in Padang, West Sumatera and in Tuban, East Java.

This year the company expects to produce 23Mt of cement, rising to 24-25Mt next year.