Asset Divestment

November 15, 2016 |    1274

Herewith submitted that on November 14th, 2016, PT. Sierad Produce Tbk ("Company") has signed an Asset Purchase Agreement with Mr Albert Saptajaya and Ms Ericka Nova Suciatno which is shares of the Company's subsidiary, PT Dwipa Mina Nusantara ("DMN"). This asset divestment is no affiliation transaction and no significant impact on the Company's operational activities. DMN consisted of 4,000 shares. For its shares, the Company sold shares on behalf of the Company as many as 3,999 shares, and the Company's subsidiary, PT Belfoods Indonesia ("BFI") sold shares on behalf of BFI as many as 1 share. The reason for the sale is based on the DMN which was engaged in fish meal industry has not operated in recent years. This was due to the declining of supply of raw materials. The Company expects by divested non productive assets, the Company could focus on its core business.