JAKARTA. PT Siloam International Hospitals Tbk (SILO) through its subsidiary, namely PT Gempita Nusa Sejahtera (GNS), took over land owned by a subsidiary of PT Lippo Karawaci Tbk (LPKR), namely PT Irama Karya Megah (IKM).

The land taken over by GNS has an area of ​​4,442 square meters. The land is located in Sukolilo, Surabaya City, East Java. Regarding the land acquisition, GNS and IKM have signed a Conditional Sale Purchase Agreement (PPJB).

According to the Conditional PPJB, GNS agreed to buy the land from IKM at a price of IDR 90 billion. The value of this land sale and purchase transaction is equivalent to 1.28% of SILO's total equity as of December 31, 2022.

SILO management said that the purchase of the land was part of the company's plan to open a new hospital unit in Sukolilo, Surabaya. "To support this plan, the company, through its subsidiary, purchases property that is bound in a Conditional PPJB," SILO Management wrote, in its official statement.

For the record, the sale and purchase of land between GNS and IKM is included in the category of affiliate transactions as regulated by the Financial Services Authority (OJK). The reason is that LPKR owns 58.07% of SILO shares, either directly or indirectly.

According to idnfinancials.com data, SILO plans to build 2 new hospitals this year. To support this plan, the company has allocated a capital expenditure budget of IDR 1 trillion. (KR/LM)