PT Timah to consult divestment plan with Bapepam

Ailing tin mining company PT Timah says it will consult with the Capital Market Supervisory Agency (Bapepam) to ensure that the company?s divestment plan will not violate the capital market regulation, Bisnis Indonesia reported on Wednesday.

Prasetyo Budi Saksono, the corporate secretary of the tin mining company, said in Jakarta on Tuesday that the consultation would be made to ensure that the divestment plan would not break the capital market regulations especially those related to conflict of interest, and transparency.

"The Timah management will also consult with Bapepam on the legal aspect of the divestment plan," he said, adding that PT Timah earlier planned to divest its shares in some of its subsidiaries through an auction, but it later changed the divestment procedure.

As part of its plan to cope with its financial difficulties, PT Timah plans to divest its shares in its three subsidiaries including Plimsoll Corp Pte. Ltd, PT Kuataraja Tembaga Raya and PT Asuransi Jiwa Tugu Mandiri.

According to earlier reports, PT Timah owns 37.5 percent stake in Plimsoll Corporation Plte. Ltd 41.87 percent in PT Kutaraja and 20 percent in PT Asuransi Tugu Mandiri. (*)