Bumi delays completion of divestment of mining units
Tuesday, June 10 2014 - 01:13 AM WIB
IDX-listed coal mining giant PT Bumi Resources Tbk has failed to meet its end of May target to divest 19 percent stake in coal miner PT Kaltim Prima Coal (KPC) and 42 percent stake in IDX-listed mineral firm PT Bumi Resources Minerals (BRMS) Tbk to repay debt China Investment Corporation (CIC), Kontan reported on Tuesday.
The paper quoted Bumi Corporate Secretary Dileep Srivastava as saying that the company has yet to obtain the approval of other creditors for the planned divestment. ?After obtaining the approval, we?ll complete the transaction with CIC, hopefully soon,? he said.
Bumi agreed with CIC in October of last year to divest its shares KPC and BRMS to help repay its US$1,357 billion debt to the Chinese lender. The 19 percent KPC stake was valued at $950 million, while the 42 percent stake of BRMS was valued at $257.4 million, Kontan said. (*)