Integration of SMBR into Cement SOE Holding Company

We are pleased to announce another successful integration of State-Owned Enterprise (SOE) where our Senior Partner, Ahmad Zakaria and Senior Associate Paula Aprijanto assisted Ministry of State-Owned Enterprises (MSOEs), PT Semen Indonesia (Persero) Tbk (SMGR), and PT Semen Baturaja (Persero) Tbk (SMBR) in the integration of SMBR into Cement SOE Holding Company to strengthen the cement industry in Indonesia.


This transaction is distinct from its predecessors because, for the first time, a publicly listed SOE is integrated into another publicly listed SOE company.


UMBRA advised on the fundamental aspects of the transaction, including structuring, government liaison, compliance review, transaction documents, and other capital markets obligations during its transaction process.


Integrating SMBR into SMGR is a critical milestone to boost the capability of the cement sub-cluster in facing the competitive markets and will play a vital part in the establishment of Ibu Kota Nusantara, the new capital city of Indonesia. In addition, SMGR will also use the rights issue proceeds to support Environmental, Social, and Governance as well as Circular Economy. Among others, SMGR intends to build additional facilities to increase the use of alternative fuels and raw materials.


Congratulations to all parties involved!


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Ahmad Zakaria
Senior Partner