Investors have agreed the plan by PT Asahimas Flat Glass Tbk to invest USD 24.5 million (IDR 269.7 billion) in CVD (chemical vapor deposition) technology.
The project will be implemented on the A-2 f…
Investors have agreed the plan by PT Asahimas Flat Glass Tbk to invest USD 24.5 million (IDR 269.7 billion) in CVD (chemical vapor deposition) technology. The project will be implemented on the A-2 furnace at Sidoarjo plant by AGC Flat Glass Europe. Head of Asahimas investor relations Rusli Pranadi said in addition to agreeing to the investment, public shareholders also agreed a change of statute and organizational changes. “The extraordinary general meeting of shareholders (EGMS) has agreed the CVD project here”, he said. The company purchased the technology from AGC Flat Glass Europe, an affiliate company, so as to obtain shareholders“ approval. Commercial CVD glass production is expected to commence by June or July 2009. About 75-85% of the product will be marketed to Pacific Asia and the rest for domestic consumption. The company foresees a return on investment in four years based on a investment return ratio of 22% predicted by PT Actual Kencana Appraisal. At the shareholder meeting, Masato Oe was officially appointed as the president director to replace Kenzo Moriyama. Two directors, Tomohiko Fujimoto and Hironari Katoda, resigned their posts, and Samuel Rumbajan was appointed as the vice president director. It was agreed to bring the company statutes into line with the Capital Market and Finance Institution Supervisory Agency (Bapepam-LK) regulation No. IX.J.1. In its recent public statement Asahimas estimated growth of 10% in 2008 revenue. The glass producer sells 55% of its output abroad and 45% on the local market. The company produces 400,000 tons of glass a year, of which 25% is autoglass. In 2009 the company allotted USD 40 million capital expenditure for CVD investment and machinery overhaul.