LS Cable & System is slated to advance into the Indonesian cable market by setting up a joint corporation with local company Artha Graha Network.
AG Group, one of Indonesia’s top 10 companies, runs businesses in the areas of banks, hotels, construction and resorts.
LS Cable & System CEO Myung Roh-hyun (third from right) poses for a photo with AG Group Chairman Panji Winata (fourth from right) after signing an agreement in Seoul on Monday. (LS Cable & System)
LS signed an agreement with AG Group in Seoul on Monday to jointly invest $40 million in the construction of cable plants near Jakarta with the aim of completion by 2019.
The signing ceremony was attended by LS Cable & System CEO Myung Roh-hyun, AG Group Chairman Panji Winata and Indonesian Ambassador to Korea Umar Hadi.
The plants are expected to produce overhead cables for infrastructure and low and medium voltage cables used for construction and plants, generating around $100 million by 2025, LS said.
LS Cable & System CEO Myung said the discussion with AG Group received “a boost” after President Moon Jae-in announced the New Southern Policy during a business forum with Indonesia in November.
By Shin Ji-hye (shinjh@heraldcorp.com)