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    State Owned Enterprise Kimia Farma Prepare Rp. 3.5 Trillion for Business Expansion

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    BANDUNG - PT Kimia Farma (Persero) prepares business budget taua capex of Rp. 3.5 trillion in 2018. The budget comes from bank loans and syndications and corporate capital.

    President Director of PT Kimia Farma Honesti Basyir said about 70 percent of the budget comes from loans including medium-term notes issued earlier this year.

    "So 70 percent of funds for investment come from loans and syndication, the remaining capital funds company," he said in Bandung, Sunday (25/3).

    He said the funds would be spent on expansion by acquiring pharmacies, clinics and studying plans to build hospitals in Jidda, Saudi Arabia.

    "Next month the team will go there to conduct surveys and business feasibility," he said.

    He said the construction of a factory in Saudi Arabia to support the needs of medicines and vitamins for pilgrims. On the other hand will be the entrance of this state-owned drug products to enter the South African market.

    He said the budget for expansion was obtained through the Medium Term Notes carried out in two stages worth one trillion rupiah. Where 40 billion rupiah through last year's offer, and this March worth 600 billion rupiah. jo

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