Following the acquisition of a majority stake in Vietnam-based cement producer Thang Long Cement in 2012, Semen Indonesia is now setting its sights on expanding into Bangladesh as well as completing a deal in Myanmar this year.
“We will probably acquire grinding mills in Bangladesh [...] but not this year,” Semen Indonesia corporate secretary Agung Wiharto told the Jakarta Post.
Wiharto also said that Semen Indonesia is looking to acquire a cement company or establish a joint venture in Myanmar, and that the company is currently in negotiations with three potential partners.
The company has allocated a budget of around US$300m from both cash reserves and bank loans for the overseas expansion, Wiharto noted. “We are upbeat that expanding overseas is the right decision as shown by the successful growth of our company,” Agung said, referring to Thang Long a 70 per cent share, in which Semen Indonesia acquired a 70 per cent in November 2012.