Japanese Investor Officially Acquires Shares Of Hero Global Investment Worth IDR 325 Billion

JAKARTA PT Hero Global Investment Tbk (HGII), officially announced a strategic partnership with Japanese electricity utility company Shikoku Electric Power Company, Incorporated (Yonden).

Yonden, through his subsidiary, SEPT International Netherlands BV (SEPI), officially signed the sale and purchase of shares and took over 25 percent of the shares of HGII founders worth IDR 325 billion.

As for this corporate action, currently the composition of HGII's shareholders is 55 percent of the shares of the company's founders, 25 percent of Yonden's shares, and 20 percent of public shares.

The founders of HGII are still the controlling shareholders.

HGII President Director Robin Sunyoto said there were several reasons why HGII founders were willing to release 25 percent of shares to Yonden. First, HGII and Yonden Group have the same vision and mission, including a commitment to develop renewable energy.

Robin said that the second reason was that Yonden had many advantages that would provide positive support for HGII.

"Yonden himself has been listed on the Tokyo Stock Exchange with stock code TYO:9507, has had a lot of experience since its founding in 1951, has solid assets and equity, has efficient operational performance and sustainable profitability," he said at a press conference, Friday, January 24.

Robin added that the third factor is that Yonden and HGII have the same business fields in the fields of energy, electricity, and new and renewable energy. As well as the fourth reason, Yonden's experience in construction, operation and maintenance of power plants (O&M).

"We are proud to partner with Yonden who will provide great opportunities for HGII to accelerate the growth of renewable energy in Indonesia. Through the partnership support from Yonden, HGII is committed to expanding its renewable energy portfolio to reach 100 MW in 2031," said Robin.

General Manager of the International Business and Cooperation Department Yonden, Kazuichi Ikeda said that this acquisition was based on the first few factors, HGII has developed several renewable energy projects independently, has been operating smoothly and has generated stable revenues based on long-term electricity buying and selling agreements.

Ikeda added that the second factor, namely HGII, is developing several renewable energy projects, including hydro, solar, biogas and biomass.

According to him, based on these facts, his party views HGII as a promising company that is able to grow sustainably so that Yonden decides to invest in HGII.

"Through this corporate action, by utilizing our expertise and technology in the construction, operations, and maintenance of renewable energy projects since the initial development stage, we believe we can contribute to increasing HGII's profitability and contributing to decarbonization in Indonesia," said Ikeda.

Ikeda said that at an early stage, her party understood that revenue from this business would mainly be used for further development.

However, at the next stage after HGII's business develops, we hope to get dividends in the future.

According to Ikeda, collaboration with HGII opens up opportunities for the development of Yonden's business in Indonesia and also neighboring countries in Southeast Asia.

He is optimistic that economic growth and population in Indonesia will encourage electricity consumption.

"Yonden projects, with high potential, the renewable energy mix in Indonesia will continue to grow in line with the policies of the Indonesian government. In the long term, renewable energy is expected to be the main source of electricity supply in Indonesia," he said.