Berau creditor files bankruptcy proceeding

PT Cakra Sinergi Investama has filed a bankruptcy proceeding against IDX-listed coal miner PT Berau Coal Energy Tbk as the latter has failed to pay maturing debt, reports said on Wednesday.

Cakra Sinergi lawyer Mujahid A. Latief was quoted as saying that Berau owes the company Rp 1.35 billion worth of debt maturing on April 5, 2015.

He added that Berau also owes debts to a number of other creditors including Maple Holding Ltd, PT Bukit Makmur Mandiri, PT Saptaindra Sejati, PT Ricobana Abadi, PT Mutiara Tanjung Lestari, and PT Adhani Talatah Nusantara. Berau also acted as guarantor for 12.5 percent guaranteed senior notes worth US$450 million issued by its parent Berau Coal Resources Ltd, which matured July 8, 2015. As such, Mujahid said that Berau Coal Energy has fulfilled the conditions to be declared bankrupt as defined under Law No 37/204.

Meanwhile, Berau Coal Energy lawyer Marco Mengko said that the company would first look into the debt documents held by Cakra, and if they?re valid, Berau would immediately make the necessary payment. (*)