JAKARTA (Yosefardi) – PT Steel Pipe Industry of Indonesia (Spindo) Tbk (ISSP) plans to issue bonds worth Rp300-500 billion this year, used to fund its expansion of production facility/plants and to support its working capital.

The company plans to build factory in Sidoardjo, East Java, and in Kerawang, West Java which costs Rp200 billion each. It allocates capital expenditure (capex) of Rp600 billion for this year.

ISSP targets to book sales of Rp3.6 trillion to Rp4 trillion this year and net profit of Rp250-300 billion.

Meanwhile, ISSP’s affiliated company PT Saranacentral Bajatama Tbk (BAJA) plans to launch rights issue for 10% new shares in early next year. BATA targets its sales to grow by 20% to Rp1.2 trillion this year.