Indika eyes majority stake of Berau Coal

IDX-listed energy firm PT Indika Energy Tbk. plans another acquisition by offering to buy a 51 percent stake in East Kalimantan coal miner PT Berau Coal, Kontan reported on Thursday.

Indika?s director Wisnu Wardhana confirmed the company?s takeover plan, saying that the company had formally submitted its bid to buy Armadian Tritunggal?s 51 shares in Berau, one of the country?s major coal producers.

?Indika can even buy 90 percent if other Berau shareholders will sell their shares,? he said. He did not unveil the estimated value of the 51 percent shares but analysts estimated it could reach US$1 billion.

Reuters citing source said that Indika will team up with Chinese firm Huaneng Power International

Indika is among the companies that have submitted bids to buy 51 percent of Berau?s shares from PT Armadian Tritunggal -- an investment firm controlled by Indonesian businessman Rizal Risjad.

The other companies interested in Berau shares included Banpu Public Company Ltd of Thailand, Peabody Energy of the United States and Xstrata, a joint venture between Swiss and British companies.

Berau?s other shareholders include Dutch company Rognar Holding BV and Sojitz Corp of Japan, which hold 39 percent and 10 percent, respectively. (*)