IFC’s investment will support the development of the company’s new industrial gas plants and distribution facilities in Indonesia in Java, Sumatra, Kalimantan, Sulawesi, Bali and West Nusa Tenggara. Aneka Gas is officially listed on the Indonesia Stock Exchange (IDX) on Sept. 28. The company raised Rp 843 billion, lower than its initial IPO target of Rp 989 billion, and will use proceeds derived to expand its business and working capital and repay outstanding debts.
Aneka Gas expects to have 200 filling stations in 35 provinces by 2020. It now has 80 filling stations in 22 provinces.
“As the only industrial gas player with a nationwide distribution network, Aneka Gas is competitively positioned to take advantage of the growing demand throughout Indonesia, especially in underdeveloped provinces,” Aneka Gas executive vice president, Rachmat Harsono, said.
Aneka Gas claims to control 30 percent of the country’s business sector. It also dominates the healthcare market controlling 75 percent of the industry by supplying gas for medical purposes and related equipment to hospitals and health care facilities.
“Businesses supporting consumer and small and medium-sized enterprises, [or SMEs], are key drivers of job creation and growth for the economy, particularly in less developed frontier regions,” IFC’s country manager for Indonesia, Azam Khan, said in a statement on Wednesday (05/10).
Aneka Gas is the part of Samator Group established in 1975 in Surabaya, East Java. The company produces and distributes gases — ranging from oxygen, nitrogen and rare gas like xenon to fuel natural gas — widely used in a range of sectors including healthcare, construction, metallurgy, petrochemical and electronics.
IFC was established in Indonesia in 1968 and provided funds over $6.6 billion to finance private sector projects in the country over the past 47 years.
One of its biggest financing projects involved syndicated loans of more than $500 million last year to a chemical manufacturing company, Panca Amara Utama, for the development of an ammonia plant on Sulawesi island.
IFC also provides advisory services to the government and businesses on various projects in Indonesia, focused on promoting sustainable urbanization in Indonesia, reducing the impact of climate change and increasing income for rural citizens.