Thailand-based cement and building material firm Siam Cement Public (SSC) has signed conditional agreements to purchase a 29% stake in Indonesian home products retailer PT Catur Sentosa Adiprana (CSA) for $72m.
The deal includes a combination of newly issued shares and existing shares held by major shareholders and founder, who will continue as the controlling shareholder of CSA.
The deal also enables SCC to strengthen its presence further in the Indonesian market and increase business for its existing assets in Indonesia.
SCG Retail Holding, a wholly owned subsidiary of SCC, will handle the transaction on its behalf.
The transaction is scheduled to close in the third quarter of this year, following the fulfilment of conditions precedent.
Primary businesses of CSA include Mitra 10, which operates 27 locations in major cities and distribution businesses in the country.
The company also has access to a network of more than 30,000 traditional building material retailers nationwide.
CSA reported consolidated sales of around $71.3m and total assets of $36.1m last year.
Apart from Mitra 18, the company also operates a home furnishings modern retail segment Atria.
More than 5,000 SKUs from more than 100 principals supplies products to Atria. It also has more than 20 transportation vehicles and operates a 9,000m2 warehouse.