JAKARTA (Indonesia Today) – Rajawali Group intends to divest 40% stake ownership in PT Bukit Asam Transpacific Railway (BATR) to state miner PT Bukit Asam Tbk (PTBA), Investor Daily reported this morning.
Currently PTBA only holds 10% stake ownership in BATR. Rajawali owns 90% stake but 10% will be tranferred to China Railway Group after getting loan of US$1.3 billion for BATR’s project.
“No problem for us to decrease ownership in BATR as we need funding for BATR’s projects,” Darjoto, managing director of Rajawali Corporation, was quoted as saying.
BATR will establish and manage 307 kilometers railway connecting Tanjung Enim, South Sumatera to Bandar Lampung. This railway project will integrate coal mine owned by PT Bukit Asam Banko, joint venture owned by PTBA (65%) and Rajawali Asia Resources (35%).
BATR’s project will cost US$1.8 billion, funded by loan from consortium of Bank of China, China Deverlopment Bank, China Exim Bank and ICBC amounting US$1.3 billion and BATR’s equity (US$500 million). (hans@theindonesiatoday.com)