HK's Hopewell completes Tanjung Jati B stake sale
Wednesday, August 6 2003 - 12:40 AM WIB
Hong Kong infrastructure conglomerate Hopewell Holdings Ltd said on Wednesday it had sold its stake in the 2x660 MW Tanjung Jati B coal-fired power project in Central Java.
Hopewell had earlier said it would receive net proceeds of US$215.5 million from the US$306 million sale to Sumitomo Corp and the Japanese trading house's Indonesian unit P.T. Central Java Power.
The firm said the proceeds will be payable in instalments. About US$38 million will be used to repay outstanding liabilities, about US$142 million will be distributed to Hopewell and US$35.5 million to its partners.
Hopewell took a provision of about US$564 million against the power plant investment after the construction of the project was suspended in mid-1998 amid the Asian economic crisis.(*)