Pertamina Pension Fund interested in buying Timah stake in insurance unit

PT Timah said the Pertamina Pension Fund has expressed interest in buying Timah's 20 percent stake in PT Asuransi Tugu Mandiri.

Pertamina, as an existing shareholder of Asuransi, has written a letter to Timah expressing its interest in increasing its stake in Asuransi, however no agreement has been reached yet, Timah corporate secretary Prasetyo Budi Saksono said.

"They (Pertamina) have offered a price but we haven't decided yet," he said. "We expect a better price, although we understand it will be difficult... the company itself (Asuransi) is not in good condition."

Pertamina and Asuransi's other shareholder, PT Tugu Pratama Indonesia, have the right of first refusal over Timah's stake. (*)