JAKARTA – PT Cemindo Gemilang Tbk (CMNT), the Semen Merah Putih manufacturer, seeks fresh funds of IDR 1.16 trillion via its initial public offering (IPO). It issues 1,718.8 million shares for IDR 680 each. This corporate action started last week and would end today (2-6/9).
Quoting the short prospectus on Monday (6/9), the company would allocate 58% of the IPO proceeds to the working capital. Then, another 17% would be spent on paying off syndicated loan principal, 11% for paying instalments to Sinoma International Engineering Co Ltd, 8% to fund the capital expenditure, and the remaining 6% to cover the debt to PT Sinoma Engineering Indonesia.
The management is optimistic that the cement industry would steadily rise, following the government programmes regarding infrastructure establishments in Indonesia. By March 2021, the revenue reached IDR 2 trillion, climbing from IDR 1.42 trillion. Furthermore, by December 2020, its revenue clocked up to IDR 7.15 trillion, increasing from IDR 6.33 trillion in 2019.
Prior to IPO, CMNT’s authorised capital was at IDR 12.8 trillion. Its issued and paid-up capital amounts to IDR 7.7 trillion, while its stock in portfolio equals IDR 5.09 trillion. The structure of the shareholders consists of WH Investment Pte Ltd of 97.12% and PT Gama Group 2.88%.
Then, once the IPO was concluded, its issued and paid-up capital would rise to IDR 8.56 trillion, while its stock in portfolio diminishes to IDR 4.23 trillion. WH Investment Pte Ltd’s portion would be reduced to 87.37%, as would PT Gama Groups’s to 2.59%. On the other hand, public investors would share the remaining 10.04%. (LK/ZH)