United Tractors may cancel plan to sell stake in Berau Coal
Monday, September 30 2002 - 03:53 AM WIB
Publicly listed heavy equipment distributor PT United Tractors may cancel a plan to sell the company?s 60 percent stake in Kalimantan-based coal producer PT Berau Coal because PT Intra Karsa which has agreed to buy the shares have failed to meet the term and condition in the deal, Koran Tempo reported Monday.
"We have yet complete the deal because Intra Karsa is still unable to fulfill one of the conditions in the sale-purchase agreement," UT?s corporate secretary Tjandrawati Waas said in Jakarta late last week. She said that the failure of the company to meet all the requirements might force UT to cancel the deal.
According to him PT Intra Karsa has been given until next week to fulfill the requirements, if not, the deal will be cancelled.
In addition to Berau, UT will also sell its stake in another coal producer PT Pamapersada to raise fresh funds to finance its debt of about US$268 million to its creditors. UT expects to gain $43 million from the sale of its stake in Berau Coal. (*)