Suntik Rp1.86 Triliun, SWF China And INA Jadi Investor Baru Pharmacy Kimia Farma

Photo: Doc. Kimia Farma Apotek

JAKARTA - A pharmaceutical SOE, PT Kimia Farma Tbk. (KAEF) officially has the arrival of new investors in its PT Kimia Farma Apotek (KFA) network subsidiary with an additional capital of IDR 1.86 trillion, equivalent to 40 percent of shares.

In an information disclosure on the Indonesia Stock Exchange (IDX) website, quoted on Friday, December 30, Kimia Farma completed a transaction to release some of KFA's shares and issue KFA's new shares taken by the Indonesia Investment Authority (INA) and the Silk Road Fund Co. group, China's Sovereign Wealth Fund (SWF). KAEF released KFA shares as much as a partial release to PT Akar Investasi Indonesia, INA's subsidiary, and CIZJ Limited, a subsidiary of SRF worth IDR 460 billion.

In addition, KFA also issued new shares worth IDR 1.4 trillion which was absorbed by AII and CIZJ. That way, the total transaction value reached IDR 1.86 trillion.

"After the transaction, it resulted in a decrease in the percentage of KAEF's share ownership in KFA from 99.99 percent to 59.99 percent. However, the Company is still the holder of KFA Controlling Shares and the KFA Financial Report is still consolidated in the company's financial statements," explained Kimia Farma's management in the disclosure of the information.

The entry of this new investor realized the initial signing at the G20 last November. Kimia Farma plans to develop a pharmaceutical retail segment, health clinics and diagnostic laboratories through KFA.

"In the future, clinical and laboratory development is also aimed at tourist areas and outside Java to support the Government in equitable health services to the community," he said.

Currently, the number of existing outlets owned is 1,195 pharmacies, 410 clinics and 72 clinical laboratories spread throughout Indonesia. This business development plan is through a new business model with digitalization that combines offline and online stores with omnichannel strategies, pharmacy integration, diagnostic lab clinics, and the New Digital Channel.

Based on the financial report as of June 2022, KFA recorded current assets of IDR 6.63 trillion and after the transaction the number of current assets jumped to IDR 8.49 trillion.

KFA is also still experiencing a loss for the current year of IDR 206.3 trillion. However, along with the entry of the new investor, the loss position in his book increased to IDR 278.69 billion.