One of Indonesian cement manufacturer PT Semen Bosowa, owned by Bosowa Group which is controlled by Indonesian businessman Aksa Mahmud, plans to enroll the stock market via initial public offering (IPO) in the fourth quarter of this year.
Semen Bosowa is seeking to raise at least Rp600 billion proceed from IPO. The manufacturer aims to establish new cement plants with capacity of 2 million-2.5 million tons annually.
Bosowa Group CEO Erin Aksa said the new factories will require a total investment of Rp3 trillion. "Besides IPO proceed, the project will be bankrolled by internally generated cash flow and bank loan facility," Aksa told Insider Stories.
The ground breaking of the plants is expected by end of this year and initiate commercially production in 2015 or 2016. At that time, capacity production of Semen Bosowa will be ramped up to 5 million tons per annum from current output of 2.5 million tons.
Disclosure: No position at the stock mentioned above.
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