JAKARTA (Yosefardi) – Tire manufacturer PT Multistrada Arah Sarana Tbk (MASA) allocates capital expenditure (capex) of US$50 million for this year, funded by internal cash and bank loan.
The company had bagged loan of US$170 million from PT Bank OCBC NISP Tbk, partly used to refinance outstanding syndicated loan of US$110 million scheduled to mature in 2016-2017.
MASA plans to increase its production utilization to 85% this year from 75% last year. It targets to produce 7.81 million units of car tire this year, a 10% rise compared to 7.1 million units last year.
While tires production for motorcycles is targeted to grow 15% to 4.6 million units this year, from 4 million units last year.