ASIATODAY.ID, JAKARTA – PT Chandra Asri Petrochemical Tbk. (TPIA) announced that it has received investment of $194 million from Electric Generating Public Company Limited or EGCO Group (EGCO), an independent energy producer in Thailand.
After completing the transaction process, EGCO will own a 30% stake in Chandra Asri Group’s subsidiary, namely PT Chandra Daya Investasi (CDI), which is dedicated to infrastructure solutions. Chandra Asri Group will continue to maintain a majority stake of 70% in CDI.
The net funds obtained will be used to develop Chandra Asri Group and EGCO’s infrastructure business, which includes energy, water and port facilities.
EGCO Group was selected as Chandra Asri Group’s preferred partner to support the exponential growth of Chandra Asri Group’s infrastructure business, after going through a strong and comprehensive strategic investor selection process.
This collaboration marks an important milestone for both companies, combining Chandra Asri Group’s expertise in the chemical and infrastructure sectors with EGCO’s expertise in the field of electricity and energy solutions.
Chandra Asri Group President Director Erwin Ciputra said that his party was very pleased to be able to join EGCO as a new growth partner to create synergies that will not only increase operational efficiency, but also contribute to a more sustainable future.
“By leveraging our strengths, we are confident that this collaboration will bring positive changes in the infrastructure landscape in Indonesia. We are also grateful for the continuous support from shareholders, investors and other stakeholders to make this transaction a resounding and outstanding success normal,” said Erwin in an information disclosure, quoted Wednesday, December 13 2023.
Meanwhile, EGCO Group CEO Thepparat Theppitak emphasized that the investment is in line with EGCO Group’s strategic objective to acquire high-quality and profitable gas-fired power generation facilities.
The investment, continued Thepparat, will also help strengthen EGCO Group’s power generation business and expand its fuel and other infrastructure business in ASEAN.
“This collaboration also allows EGCO to integrate smoothly into the promising market in Indonesia with the potential for further expansion in Southeast Asia, while maintaining the long-term partnership between EGCO and Chandra Asri Group,” said Thepparat.
CDI aims to generate long-term, stable and sustainable profits for shareholders through its infrastructure business. Its core infrastructure asset portfolio consists of Indonesia’s largest and only integrated water company, one of Indonesia’s 2 gas turbine Combined Cycle Power Plants, a 200 MW green power generation joint venture with Posco International, and an intermediate tank rental services company as well as integrated dock management based in leading industrial areas on the island of Java.
CDI delivers further growth to the assets in its portfolio through (i) increasing value through operational excellence; (ii) realizing cross-entity synergies; and (iii) integrating ESG best practices. (AT Network)
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