JAKARTA (Yosefardi) – Investor Daily reported this morning that coal giant PT Bumi Resources Tbk (BUMI) plans to launch the initial public offering (IPO) of the holding of PT Arutmin Indonesia.
BUMI will set up holding company for Arutmin and other subsidiaries which have mining permits such as PT Pendopo Energy Batubara. Arutmin now produces 30 million tons of coal per year.
BUMI will hold 70% ownership on holding company of Arutmin, the coal business backbone for BUMI. Other backbone is PT Kaltim Prima Coal (KPC) which produces 70 million tons of coal per year.
BUMI will convert 19% shares of KPC, priced at US$950 million, to be delivered to China Investment Corporation (CIC) as part of debt settlement.