Indah Kiat to Acquire 3 Million SQM of Land for New Paper Factory in Karawang
Jakarta. Indah Kiat Pulp & Paper (INKP) has announced its intention to construct a state-of-the-art industrial paper factory in Karawang regency, West Java, with an annual production capacity of 3.9 million tons.
To facilitate this ambitious plan, Indah Kiat has recently entered into agreements with local companies Persada Kharisma Perdana and Paramacipta Intinusa to acquire over 3 million square meters of land, Corporate Secretary Heri Santoso said in a filing on Wednesday.
As part of this acquisition, Indah Kiat, a subsidiary of the Sinar Mas Group, will purchase 2.08 million square meters of land from Persada Kharisma and an additional 1.03 million square meters from Paramacipta, both of which are situated in the Ciampel district of Karawang.
A previous filing dated March 31 revealed that the land purchase agreement with these two companies is valued at Rp 247.9 billion ($16 million).
The new factory will be situated within the Surya Cipta Industrial Zone.
Earlier reports indicate that Indah Kiat is investing up to $3.6 billion in the new factory, including machinery, equipment, and supporting facilities.Tags: