Jakarta - PT Semen Indonesia Tbk (SMGR) plans to issue shares by providing preemptive rights of 1.070 billion series B shares, representing 18.04% of the issued and fully paid capital.

Based on the company's prospectus released on Wednesday (11/2), the rights issue plan is related to the government's plan to consolidate PT Semen Baturaja Tbk (SMBR) into Semen Indonesia.

According to Imelda and Partners Public Accountant Office, the transaction value of state-owned shares transferred from SMBR to Semen Indonesia is Rp2.848 trillion.

With the input of Semen Baturaja shares, the value creation for five years is Rp1.655 trillion.

Meanwhile, the use of the rights issue proceeds is for the consolidation of SMBR into Semen Indonesia through the company's participation in SMBR as much as 7.499 billion series B shares or representing 75.51% of all issued and paid-up capital in SMBR, as well as strengthening ESG and circular economy, develop