Milbank LLP advised PT Danantara Investment Management (Danantara), Indonesia's second sovereign wealth fund, in connection with its joint investment alongside Indonesia Investment Authority (INA), of US$200 million in Chandra Asri Group’s new chlor alkali-ethylene dichloride (CA-EDC) plant in Cilegon, Bante. The CA-EDC plant is operated by Chandra Asri Alkali (CAA), with an estimated total project value of US$800 million and is expected to commence operations in 2027.
The investment, executed through a conditional Share Subscription Agreement, marks a major capital‑commitment milestone for the project and a significant strategic transaction for Danantara, aligning with its sovereign mandate to direct capital into sectors of national priority. The CA‑EDC facility is expected to produce 400,000 tons of dry caustic soda and 500,000 tons of EDC annually, accelerating downstream industrialization and strengthening Indonesia’s supply‑chain resilience.
The Singapore-based Milbank team was led by partners Jacqueline Chan and Maurice Conway, with additional senior support from Milbank’s Asia managing partner David Zemans, and included associates Wei Sheng Lee and Lauren Kava.
