On January 9, REPT (00666.hk) announced that the Board of Directors had resolved on the same day to invest in the construction of a battery factory in Indonesia. The investment and construction of the Indonesian battery factory will be carried out through PT REPT BATTERO INDONESIA, a non-wholly owned subsidiary established by the company in Indonesia.
According to the announcement, for this purpose, the shareholders of the Indonesian subsidiary will increase the capital of the subsidiary by a total of $139.5 million. As of the announcement date, the Indonesian subsidiary is 60% owned by Infinitude, an indirect wholly-owned subsidiary of REPT. Infinitude plans to contribute $83.7 million in the capital increase. After the capital increase, REPT's shareholding ratio in the Indonesian subsidiary will remain unchanged.
REPT stated that after the completion of the Indonesian battery factory, it plans to engage in the R&D, manufacturing, and sales of lithium-ion batteries, battery components, modules, and battery packs in alignment with local government policies. Upon the commencement of production of the first phase, the Indonesian battery factory is expected to achieve an annual production capacity of 8 GWh of power and ESS batteries and systems, as well as battery components. The company expects to enhance its business in Southeast Asia through the construction of the Indonesian battery factory, bringing it closer to local customer resources and raw materials, promoting efficient resource utilization, and achieving high-quality sustainable development for the group.
