ANTAM and Showa Denko K.K Signed The Conditional Share Purchase Agreement of PT Indonesia Chemical Alumina Shares
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Jakarta, May 29, 2018 - PT Aneka Tambang Tbk (ANTAM; IDX: ANTM; ASX: ATM) is pleased to announce the Company has signed the Conditional Share Purchase Agreement (CSPA) of the purchase of Showa Denko K.K (SDK) Japan's shares in PT Indonesia Chemical Alumina (PT ICA) which operates the Tayan Chemical Grade Alumina (CGA) plant. In the joint venture, ANTAM owns 80% of PT ICA and SDK owns the remaining share of 20%. The signing of CSPA is a part of the comprehensive negotiation and evaluation process which was conducted by ANTAM and SDK toward the restructuring of the joint venture arrangement in PT ICA .
ANTAM's President Director, Arie Prabowo Ariotedjo said: "The signing of CSPA is part of ANTAM's solid commitment to optimize the operations of Tayan Chemical Grade Alumina plant as well implementing the Company's strategic plan in the development of mineral downstream business and supporting the aspiration for having value added creation and downstream industry within the mining sector in Indonesia. ANTAM is confident that through feasible business model, the operation of Tayan CGA Plant will generate positive economic value for the Company and its shareholders ."
Under the CSPA, both ANTAM and SDK agree to provide assistance for the restarting operation of the Tayan CGA plant as well as committed to meet the obligation as shareholders of PT ICA in accordance with the proportion of share ownership. The shares purchase transaction is estimated to be completed at the end of August of 2018.
The Tayan CGA plant which operated by PT ICA, employs the Bayer process and is equipped with the calcination facility to produce CGA product. CGA is used in the production of functional materials and electronic materials such as water purifier materials, refractories, abrasives, building materials, IC packaging, and materials for LCD glass.