Update- Bumi sells KPC, Arutmin for $3.2 billion

JSX-listed coal mining house PT. Bumi Resources announced on Friday it had signed agreement to sell its entire 95 percent stake in Kaltim Prima Coal (KPC) and PT. Arutmin Indonesia to PT. Borneo Lumbung Energi, an associated company of PT. Renaissance Capital Indonesia for US$3.2 billion. Credit Suisse acts as financial arranger for the transaction, according to Bumi.

Completion of the transaction will have to get shareholders? approval, the company said.

Bumi said in a statement that the proceed would be used to pursue emerging energy business such as power plants, biomass, upgraded brown coal and bio-diesel. (alex)