JAKARTA (Yosefardi) – Textile and garment giant PT Sri Rejeki Isman Tbk (SRIL) Tbk, popular as Sritex, revises up its revenue and profit target this year, alongwith the planned acquisition over 99.9% stake in PT Sinar Pantja Djaja from PT Kapas Agung Abadi.
The company now targets to book net profit of Rp366 billion for this year on revenue of Rp5.94 trillion. Earlier the company targets net profit and revenue of Rp325 billion and Rp5.14 trillion.
For 2014, the company targets to book revenue of Rp7 trillion, a 17.84% growth compared to this year’s revenue, benefited from rupiah depreciation against the US Dollar as SRIL exports 53.7% of its total production to overseas.
SRIL will acquire Sinar Pantja at price of Rp723 billion. The company had raised Rp1.29 trillion from the initial public offering (IPO) in mid June this year.
On IPO prospectus, SRIL said it will use IPO proceeds of Rp723 billion for funding expansion of its spinning production facility. But it now prefers to acquire Sinar Pantja for boosting production.