Sets aside US$765m for investment
Semen Gresik plans to spend as much as US$765m (Rp7.1t) capital to build two new factories (US$630m) and one unit of power plant (US$115m) in the next two years. The company also plans to invest in PT Kertas Kraft Aceh (KKA), a producer of cement packaging, to support its operations. KKA, which is located in Nangroe Aceh Darussalam, is facing liquidity problems.
This year, Semen Gresik will spend up to US$400m capital spending. US$150m will be used for non-strategic development and to increase production capacity while the remaining balance will be used for developing a new factory and power plant which includes cement packaging and distribution factory in Papua.
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