The Signatory of Joint Venture Establishment Agreement between PT Semen Gresik and 6 (six) Village-Owned Enterprises

PT Semen Gresik (“SIG”) initiated the establishment of a joint venture between SIG and 6 (six) of Village- Owned Enterprises. The establishment of the joint venture aims to optimize efforts to increase the economy and empower communities around factories in Rembang, Central Java, Indonesia, which includes village’s economic development, education improvement and infrastructure development.

TJAJO & Partners, representing and advising SIG in arranging this strategic joint venture. This transaction was led by Rambun Tjajo, Senior Partner. The composition of share ownership in this joint venture is 52% of shares owned by SIG and 48% of shares owned by the Village-Owned Enterprises, and it is expected to increase community ownership of the Rembang Plant. The joint venture scheme is also expected to be able to increase the acceleration of the Village-Owned Enterprises entrepreneurial abilities.

The signatory was being held on 9 April 2020, signed by the Director of SIG, Mukhamad Saifudin and each one of the Directors from the six Village-Owned Enterprises. The signing was also being attended by the Regent of Rembang Regency, Abdul Hafidz, and witnessed via video conference by the State-Owned Enterprises (“SOE”) Minister, Erick Thohir; Deputy of SOE Minister, Budi Gunadi Sadikin; the Governor of Centra Java, Ganjar Pranowo; and the President Director of SIG, Hendi Prio Santoso. Also attending the event, Government Assistant and People’s Welfare of the Regional Secretariat of Blora Regency, Purwadi Setiono.

The deal has attracted various media coverage, among others:

https://investor.id/business/sig-bikin-perusahaan-patungan-dengan-6-bumdes-di-rembang

https://finance.detik.com/foto-bisnis/d-4973220/pendirian-perusahaan-patungan-dengan-bumdes-di-kabupaten-rembang/3

https://www.beritasatu.com/galeri-foto/34283-sig-prakarsai-pendirian-perusahaan-patungan-dengan-bumdes