Singapore, 3 February 2020 – Jebsen & Jessen Packaging is making a strategic move into the Indonesian market with the acquisition of a 60% stake in leading Indonesian beverage packaging manufacturer PT Indo Tirta Abadi (ITA). A sale and purchase agreement was signed on January 31, 2020 between Jebsen & Jessen and the current shareholders of ITA. The transaction is expected to close in early March subject to completion of conditions precedent.
Starting operations in 2003 with a single production machine, ITA grew strongly over the years to become Indonesia’s leading manufacturer, supplying many of the top global and local beverage manufacturers such as Danone (Aqua), Coca-Cola, Sosro, Nestle and Yeo’s. The company runs two ISO9001 and ISO22000 (Food Safety Management System) certified production plants using state-of-the-art moulding machines – a main facility in Tangerang and a smaller one in Gempol, on the outskirts of Surabaya. Employing 500 people, its product portfolio consists of PET bottles, PET preforms and HDPE closures.
ITA was founded by Mr. Herman Ali and is supported by an experienced management team. Reflecting on the start of the new partnership with Jebsen & Jessen, Mr. Herman Ali said “We are very excited to embark on this new partnership with Jebsen & Jessen, a company with a history of continued success built on strong core values. With a shared vision and mission, we believe this partnership will take ITA to the next level and continue to lead innovations in the industry.”
Mr. Chui Tau Siong will, in addition to his current responsibilities as Jebsen & Jessen Packaging Regional Managing Director, be taking on the role of President Director in ITA once the transaction has been completed. Mr. Chui commented, “with the investment into ITA, our Packaging Regional Business Unit (RBU) will grow its business by 50%. I am excited by this strategic growth move and am delighted that the partnership with the Ali family helps us expand our platform beyond Singapore, Malaysia and Vietnam to now also include ASEAN’s largest economy, Indonesia”.
“In our quest to find a suitable partner to grow with in Indonesia, we were most impressed by the professionalism, quality and attention to detail that characterises the way in which ITA is being managed. This is a remarkable company with a solid track record which has earned second to none credentials with triple-A customers,” said Jebsen & Jessen Executive Vice Chairman Per Magnusson.
“This partnership is the happy outcome of a long and careful investment opportunity search driven by our Grow Indonesia strategy. We are thrilled to have the chance to partner with the leading beverage packaging player in a steadily growing industry and to see our strong and trusted Packaging RBU enter the Indonesian market where all other Jebsen & Jessen RBUs are already present,” said J. Heinrich Jessen, Chairman of Jebsen & Jessen.