Judgement Day for Cemex-Gresik saga

The clock is ticking down to final minute of the long dispute over state-owned enterprise PT Semen Gresik Tbk. Rajawali Corporation is expecting the blessing from state-owned enterprises ministry of its plan to acquire Cemex SA's 24.9% shares in the cement manufacturer. What if government don't want to give the blessing?

The worst case scenario is that government will not give the blessing for Rajawali to close the US$330 million deal that potentially put an end to arbitrary suit filed by Cemex SA toward Indonesian government looking for compensation at hundreds of millions of dollar.
Actually, Rajawali could still close the deal. But Rajawali would risk ongoing dispute with government in the future as an unwanted investor-partner. Cemex on the other end would keep playing the arbitrary card that put government at risk of losing the legal battle.
It's like another slap in the face of Sugiharto, the minister of SOEs. Yesterday, in a parliament hearing, minister of finance Sri Mulyani Indrawati knocked Sugiharto down on SOEs planned dividend payment for 2007 budget. Mulyani convincingly downsized Sugiharto's ambitious SOEs dividend payment arguing SOEs needs to use generated profits to expand.
Last year Semen Gresik booked net profit of Rp1 trillion (US$110 million) and projected 40% growth of net profit to Rp1.4 trillion this year.

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