PT Semen Indonesia - February 2019

Semen Indonesia plans to expand its operations following its recent acquisition of Holcim Indonesia. The deal, which was carried out through Semen Indonesia’s subsidiary, Semen Indonesia Industri Bangunan (SIIB), makes SIIB the main shareholder with 80.64 per cent ownership. As a result of the move, Holcim Indonesia is to be renamed PT Solusi Bangun Indonesia (SBI).

According to Agung Wiharto, corporate secretary at Semen Indonesia, the acquisition, which is worth US$916.3m, is part of a plan to expand the company’s network of cement plants across the country, giving the company a key foothold in Jakarta and West Java in particular, which consume the most cement in the country. The arrival of Holcim Indonesia’s four plants boosts Semen Indonesia’s total capacity from 38Mta to 50Mta. By integrating the supply chains of Semen Indonesia and SBI, the company also hopes to reduce distribution and raw material costs.