JSX lifts Bumi Modern suspension
Thursday, March 2 2000 - 02:30 AM WIB
The Jakarta Stock Exchange (JSX) will resume the trading in stocks of property concern PT Bumi Modern beginning Thursday (today) after being suspended since Feb. 21.
The JSX announced on Wednesday that the trading suspension would be lifted on Thursday after the company's management managed to clarify several controversial issues related to its rights issue plan.
Bumi Modern, a property company controlled by Aburizal Bakrie and his family, recently secured an approval from shareholders to carry out rights issue to raise about Rp 9.3 trillion in fresh funds. The proceeds from the limited public offering would be used to acquire seven oil blocks in Yemen.
The acquisition plan has provoked a controversy in the public. Many securities analysts said the takeover plan was a kind of a financial engineering created by the debt laden Bakri Group to cope with itsmassive debts. (*).