Gallant divests stake in SILO
Tuesday, January 6 2015 - 01:16 AM WIB
SGX-listed Gallant Venture Ltd. announced Moday that its subsidiary, PT Batamindo Investment Cakrawala (PT BIC) has disposed its indirect 29.4 percent interest in mining firm PT Sebuku Iron Lateritic Ores (SILO) for a consideration of S$16,633,903 (or approximately US$12.59 million).
Gallant, which is part of the Indonesian well-diversified Salim Group, said in a statement that the consideration for the disposal was arrived at on a willing-buyer willing-seller basis, taking into account various factors such as the underlying assets, financial position and prevailing market conditions.
The disposal is not expected to have material impact on the net tangible assets and earnings per share of the company and its subsidiaries for the current financial year ending 31 December 2014.
SILO operates iron ore mining and smelter on Sebuku Island, Kotabaru Regency, South Kalimantan. It announced in October of last year that export of iron concentrates to China had been suspended due to falling price of the commodity. In addition, Indonesia?s iron concentrates were considered as less competitive compared to products from Australia and the Philippines.
Editing by Reiner Simanjuntak