Semen Baturaja eyes Rp 1.2t from IPO in H2

JAKARTA. State cement producer PT Semen Baturaja will float up to 35 percent of its shares on the local stock exchange in the second half of the year, aiming to raise up to Rp 1.2 trillion (US$127.2 billion), an official says.

The company has appointed state-owned Bahana Securities to underwrite the initial public offering (IPO), Achiran Pandu Djajanto, the State-Owned Enterprises Ministry’s deputy for restructuring and strategic planning, said on Monday.

Proceeds from the initial share offer will be used in part to finance a Rp 2.5 trillion cement mill in South Sumatra with an estimated annual production capacity of 1.5 million tons.

Established in 1974, Semen Baturaja operates plants in Baturaja and Palembang, both in South Sumatra, and in the Panjang area in Lampung.