JAKARTA (Yosefardi) – Investors sold off shares of giant coal PT Bumi Resources Tbk (BUMI) on concern over the interest payment default by its subsidiary.

Stock Exchange of Indonesia (IDX) has sent letter questioning this issue but BUMI claims no default.

At 10.14 am Jakarta time, BUMI dropped 5.56% to Rp102 per share with over 85 million shares traded.

BUMI claimes that its subsidiary Bumi Investment Pte Ltd is facing no default on its US$700 million bond interest payment or is demanded the acceleration for payment by the bond holders.

Bumi Investment is said to make payment of interest by end of this month.