ABM to enter nickel mine construction business
Wednesday, February 11 2015 - 04:20 AM WIB
IDX-listed integrated coal mining firm PT ABM Investama Tbk through its subsidiary PT Cipta Kridatama is entering the nickel and cement raw material mine construction business as part of a diversification strategy to increase the portion of its non-coal revenue, Investor Daily reported on Wednesday.
The paper quoted ABM Director Yovie Priadi as saying that the company wanted to increase the portion of the non-coal revenue to 40 percent of total revenue over the next five years.
He said that the diversification was necessary so that the company would not rely on its coal mining services business as the main source of revenue.
He added that the diversification is part of an earlier move to enter infrastructure contractor business.
Elsewhere, Yovie said the company was seeking about US$105 million of external funds to help finance this year?s capital expenditure of about $150 million. The company is considering bonds or bank loans.(*)