Learning from the Spin-off Debacle
Whatever the eventual solution, the Semen Padang case needs to be handled carefully, for both Jakarta and the local people have their own agendas.
November 6, 2001
Aunilateral and rapid takeover of PT Semen Padang took place on Thursday, 1 November 2001. What happened? The people of West Sumatra decided on October 25 that it was time to spin off PT Semen Padang from PT Semen Gresik just one day before the closing date for the government's put option for the sale of PT Semen Gresik's shares to Cemex S.A. on 26 October 2001. Although the put option was later deferred, the Minang people were adamantly determined...