Bhakti Investama to acquire coal mining companies

Bhakti Investama, Indonesia-listed investment company controlled by media mogul Hary Tanoesoedibjo, plans to acquire at least two coal mining companies as part of its expansion into the mining sector.

As part of the plan, Bhakti Investama recently signed an agreement to buy mandatory exchangeable bond (MEB) issued by coal mining firm PT Bhakti Coal Resources (BCR), Investor Daily reported.

The purchase of the convertible bonds worth Rp 970.2 billion, would allow Bhakti Investama to own 55 percent in BCR. Wandhy Wira Riady, a director of Bahkati Investama, said

BCR holds eight mining permits in Banyu Asin regency, South Sumatera through its subsidiaries. According to him, BCR?s eight subsidiaries operate mining areas with total size of 92,000 hectares which hold total reserves of about 1.64 billion tons.

Bhakti Investama has also signed an agreement to buy mandatory exchangeable bond (MEB) issued by PT Nuansacipta Coal Investment (NCI), which holds a mining permit in Palaran, Samarinda, East Kalimantan. The purchase of the MEB worth Rp 350 billion would allow Bhakti Investama to own a 51 percent stake in NCI.(*)