PRESS RELEASE: Timah shareholders approved the Indocoal acquisition plan
Friday, February 16 2001 - 05:30 AM WIB
PT Timah Tbk announced today the results of the Extraordinary General Meeting of Shareholders (EGM) which was held in Borobudur Hotel on last Wednesday, 14 February, 2001. In the first agenda, The EGM approved the Company's plan to acquire all of the issued and paid up shares owned by PT Holdiko Perkasa and PT Gemahripah Pertiwi (the "Sellers") in Indocoal (being PT Indotambangraya Megah and PT Ganda Upayatama), either on the Company's own behalf or in cooperation with third party(ies), subject to the result of the Company's due diligence investigation of Indocoal, Directors' assessment of the commercial viability of Indocoal and the impact of the acquisition on the Company's value and the acceptance by the Sellers of the offer, if any, from the Company (the "Transaction").
According to the matter, the EGM also gave the Board of Directors the power and authority to take all necessary actions required to effect the Transaction, and The Board of Directors shall report the outcome of the Transaction in the next General Meeting of Shareholders.
In the second agenda, the EGM approved the Company's plan to obtain external funding in respect to the acquisition plan. The financing of this transaction will come from internal cash resources of the Company. In case internal cash resources of the Company is not sufficient, the financing will come from a combination of internal cash resources supplemented by external funding. The type and amount of the external funding have not been determined. The EGM approval is needed to anticipate if the external funding is material.
The Company also took the opportunity to request the EGM approval to amend the Article 12.6 of the Company's Article of Association in relation to Bapepam Regulation No. IX.E.2 regarding the materiality of transaction. In this third agenda, the EGM then approved to amend the Article of Association in respect of Bapepam Regulation Number: IX.E.2 item 1 on Material Transaction.
Following the resolution of the PT Timah Tbk AGM held on 27 April 2000, the EGM approved that the Company's Board of Directors shall propose in writing to Serie A Shareholder the candidates for Independent Commissioner(s) who shall be appointed and ratified in writing by Serie A Shareholder.
Contact: Prasetyo B. Saksono, Corporate Secretary, Phone: +62 21 391 5814 / 310 1185 ext. 6111, Fax: +62 21 392 0056; or Ria W. Pawan, Investor Relations, Phone: +62 21 310 1185 ext. 6170, Fax: +62 21 392 0056, (*)