JAKARTA (Yosefardi) – Cement producer PT Holcim Indonesia Tbk (SMCB) has bagged loan of Rp750 billion from PT Bank CIMB Niaga Tbk (BNGA). The bank is also now seeking loans from syndicated banks.

The loan will be used to fund its capital expenditure (capex) for this year amounting US$250 million and to refinance the existing debts.

SMCB suffered loss of Rp138 billion in the first half of 2015, against profit of Rp452.93 billion in the same period of 2014, due to the prices control by the government of Indonesia on state cement makers.

Domestic cement consumption declined 5% to 28.7 million tons in the first half with no acceleration of the government’s infrastructure projects. SMCB has late last month inaugurated its new cement mill in Tuban.