Feb 21, 2011

Astra International sets US$1.3 bio capex

Automotive maker PT Astra International Tbk (ASII) sets US$1.3 billion of capital expenditure (capex) in a bid to support organic and non-organic growth.
According to Astra President Director Prijono Sugiharto, the company is looking at several possibilities of investment in coal, palm oil, and infrastructure sectors.
When asked about upcoming acquisition which may be realized in the first quarter, he said Astra will announce the takeovers. "We still have one or two potential takeovers in the pipe line. When we win, we will announce the acquisitions."
He declined to comment about possibility of PT Astratel Nusantara to buy oil and gas block majority owned by PT Radiant Utama Interinsco Tbk (RUIS). 
Regarding on car and motorbike sales, Prijanto estimated that sales may increase 5%-10%. But it may be flat after taxes and fuel price hike.

Disclosure: No position at the stock mentioned above.

Print This Article

No comments: