Producer Sariayu Martha Tilaar Sells Land And Building Assets In Bekasi Rp180 Billion Due To Lower Sales

Martha Tilaar. (Photo: Doc. Martina Berto)

JAKARTA - Sariayu Martha Tilaar cosmetics producer, PT Martina Berto Tbk plans to divest its assets to facilitate the company's working capital.

Herman Ruslim, as Deputy Head of KJPP Herman Meirizki and Partners appointed by Martina Berto to conduct an independent assessment of the reasonableness of the planned material transaction, stated that the issuer codenamed MBTO shares will sell its assets at a material transaction price of Rp180 billion.

"The plan to divest assets was motivated by the disruption of the company's cash flow caused by the decline in sales because the company was unable to fulfill orders," Herman wrote in the MBTO Fairness Opinion Report quoted from information disclosure on the IDX website, Thursday, August 5.

To fulfill orders, the company stated that it needed additional liquidity, especially to pay debts to suppliers that were due and the company was unable to add bank loans.

In addition, the company's bank interest expense is currently high and burdens the company's cash flow. The Company also hopes that the planned material transaction will improve MBTO's business performance.

MBTO plans to divest its assets in the form of land covering an area of 94,352 square meters, buildings covering an area of 4,839 square meters, machinery, building equipment, laboratory equipment, and office equipment.

The party who became the buyer was PT Kosmetika Global Indonesia. The assets are located in Sukaresmi Village, South Cikarang District and Lemah Abang District, Bekasi Regency, West Java Province.

Based on the results of the assessment conducted by Property Appraisers KJPP Herman and Partners, the market value of the object of the planned material transaction is Rp. 178.80 billion, while the planned material transaction is Rp. 180 billion, which is within the upper and lower limits of the market value of the object of the transaction of 7 ,5 percent.

Herman said, based on the analysis that has been carried out on the projected financial statements for the 6-month period in 2021 and the 12-month period for 2022-2026, the material transaction plan is believed to be able to help the company from the financial side to meet the raw material needs needed to fulfill orders.

In the future, this is expected to increase sales and generate net profit. Therefore, this plan is considered to have a positive impact on MBTO's financial performance.