DSNG Completes The Acquisition of Bima Palma Group
JAKARTA, DECEMBER 12, 2018 - PT Dharma Satya Nusantara Tbk (“the Company”, “DSN Group”) today announced the completion of its acquisition of PT Bima Palma Nugraha (BPN) and PT Bima Agri Sawit (BAS).
The Sales and Purchase Agreement (“SPA”) between the Company and Bima Palma Group has signed today in the Company's Head Office, Pulogadung Industrial Estates, East Jakarta.
Stated in SPA, DSN Group acquired 100% of BPN and 100% of BAS, both located in East Kutai District, East Kalimantan Province.
Previously, the shareholders of the Company had gave their approval on the proposed acquisition at the Extraordinary General Meeting of Shareholders ("EGM") held on Monday, December 10, 2018.
The Corporate Secretary of DSN Group, Paulina Suryanti, said that this acquisition was strategic step for the Company to add new planting area through in-organic ways, while continue the new planting in the Company’s existing land bank.
“Todays’ event has become one of the DSN Group’s milestones and showed our commitment to continue growing in the palm oil business,” Paulina Suryanti said after signing the SPA.
Paulina expressed the strategic reason for BPN and BAS acquisition was in line with the Company’s long-term development. All of BPN and BAS estates were mature planted area with a younger average age. After the acquisition, according to Paulina, the Company’s CPO production will increase around 14%.
In addition, the acquisition will provide added values for the Company, because both the acquired estates located in East Kutai District, East Kalimantan Province, near the Company's largest estates, thus would create a synergy in business development in the future.
“Leveraging our long time experience in managing palm oil business, we believe that we can turnaround the operational performance of the acquired companies to contribute to the Company in the next few years," Paulina added.
ABOUT PT DHARMA SATYA NUSANTARA Tbk
PT Dharma Satya Nusantara Tbk was established on 29 September 1980, and is active in the palm oil industry and wood products manufacturing. The Company currently operates 13 estates and 7 palm oil mills with a total capacity of 450 tons per hour. In the wood product segment, the Company operates wood processing plants in Central Java, which produce panel products and engineered flooring.
PT Dharma Satya Nusantara Tbk
Jl. Rawa Gelam V Kav. OR/3B
Pulogadung Industrial Estates
Jakarta 13930, Indonesia